Elering to start road shows to prepare for the sale of new bonds

On Wednesday, Elering will start the road shows from Tallinn to present the company’s new bond issue to potential investors in European financial centres.

Elering is planning to issue new bonds in the amount of 225 million euros and use the money from the issue for the redemption of bonds that were issued in the same amount in 2011 with a maturity date of 12 July this year.

“The issuance of the new bonds will give Elering a strong financial basis for big investments in the coming years, including successful realisation of the Balticconnector gas connection and Estonian-Latvian third electricity connection,” commented Elering’s Chairman of the Board, Taavi Veskimägi.

Elering will quote the new bonds on London Stock Exchange, similarly to the previous ones. A nominal value of the bonds issued is 100,000 euros with a maturity date of five years. The arrangers of the issue are Danske Bank and J.P.Morgan.

Elering’s outstanding loan at the end of 2017 totalled 362 million euros and equity totalled 346 million euros. Last year, the company earned 17 million euros of net profit with revenues reaching up to 132 million euros.