The coupon of Elering’s successful Eurobond issue to be 0.875 percent

Elering's €225 million 5-year Eurobond coupon is 0.875 per cent; value date of bonds is 3 May 2018.

"This is the lowest fixed coupon achieved by a euro-denominated corporate issuance in the CEE region in the last 15 years," said Taavi Veskimägi, Chairman of Elering's Management Board. "The bond issue significantly reduces Elering's financial costs," he added.

"A successful bond issue provides certainty that Elering will not need to refinance its debt over the next five years. This will allow us to focus on future major investments, such as Balticconnector and the third electricity connection between Estonia and Latvia, "said Veskimägi.

The order book surpassed 1 billion euros at its peak, which allowed bond yields to be lowered in comparison to the original offer. Nordic investors bought 50 per cent of the bonds. Baltic investors bought 19 per cent of the bonds, and the share of German and Austrian investors was 13 per cent.

The maturity date of the bond is 3 May, 2023. The proceeds from the emission will be used for the redemption of the bonds issued in 2011 with a maturity date in July this year. New bonds will be listed on the London Stock Exchange similarly to previous bonds.

Credit rating agency Moody's has assigned bonds the highest credit rating for securities issued by Baltic corporates as A2.