AS Grenardi Group bond offer significantly oversubscribed
The leading and fastest growing jewellery retail chain in the Baltics, AS Grenardi Group (GRENARDI and GIVEN stores), has successfully raised EUR 12 million in a public bond offering with a fixed interest rate of 10%.
Total demand for the bonds from more than 1 300 investors reached EUR 21 million, exceeding the first tranche of the EUR 12 million bond offering by 75%. Latvian investors contributed 85% of the total demand, Estonian investors for 12% and Lithuanian investors for 3%.
Ģirts Rudzītis, Chairman of the Board and CEO of AS Grenardi Group: "The high investor activity is proof that not only we, but also investors appreciate the resilience of the jewellery industry, which is reflected in the rapid growth and development of the Group in recent years. We thank every investor who expressed confidence in the company by participating in the public bond offering. I am confident that together we can reach new heights."
"We are delighted to see the strong interest in Grenardi Group bonds from both private and institutional investors, with total demand reaching EUR 21 million and more than 1 300 investors participating in the offering. Most of the total demand for the bonds came from Latvian investors, which confirms Grenardi Group's brand recognition and strong reputation in the Latvian market, as well as the growing activity of Latvian investors and their support for ambitious and successful local companies," says Kristiāna Janvare, the Managing Director of Investment Banking of AS Signet Bank.
Due to considerable oversubscription, the bonds were allocated to investors, observing the following main principles: 1) all existing bondholders who participated in the exchange offer received a full allocation, observing the exchange ratio; 2) the issuer decided to allocate the minimum amount to each investor to be able to qualify for each respective bracket of the investor loyalty programme (EUR 500, EUR 10 000 and EUR 50 000, respectively). The remaining part of the orders was allocated by the Issuer with the goal to create a solid, diversified and reliable investor base.
We kindly remind that within one month from the issue date, investors who have invested at least EUR 500 are invited to apply for the AS Grenardi Group investor loyalty programme on the company's website – www.grenardi.group/investors. The registration for loyalty programme is open until May 18th 23:59.
During the offering, AS Grenardi Group also offered its existing bondholders of bonds maturing on 30 April 2024 (ISIN LV0000860054) to exchange their bonds for the new bonds. Over 50% of the existing bondholders, holding bonds in the amount of EUR 1 640 000, decided to participate in the exchange offer, as a result of which the issue volume of LV0000860054 bonds will be reduced to EUR 1 360 000, and the respective bonds will be redeemed at maturity.
AS Grenardi Group bonds will be listed on Nasdaq Riga regulated market Baltic Bond List. Proceeds from the bond issue will be directed towards refinancing the Group’s existing bonds, as well as financing further growth – expansion of its store network and assortment and financing of acquisition transactions. The bonds of AS Grenardi Group have a maturity of three years. The fixed interest rate is 10%. The bonds will be settled on 19 April, 2024. Bondholders will receive a monthly coupon payment (interest), the first coupon payment will take place on 31 May, 2024.
AS Signet Bank acted as the Arranger in the bond offering, while legal advice was provided by Eversheds Sutherland Bitāns.
About Grenardi Group
AS Grenardi Group is the parent company of GIVEN and GRENARDI in the Baltics. As of December 31, 2023, AS Grenardi Group operates a total of 82 stores – of which 75 GIVEN chain stores and 7 GRENARDI chain stores. Additionally, the Group has five online stores: www.given.lv, www.given.ee, www.given.lt, www.grenardi.lv and www.grenardi.ee.
GIVEN is a jewellery brand that stands for joy, beauty, love, creativity, and sustainability by expressing this in its jewellery – through design, unique collections of brands, and carefully considered details, making the valuable accessible.
GRENARDI has been the leading luxury jewellery retail chain in Latvia and Estonia for more than 20 years. GRENARDI offers an extensive assortment of world-renowned luxury jewellery brands and sophisticated private collections.
Disclaimer: This announcement is an unpaid marketing communication in accordance with the Prospectus Regulation and does not constitute investment advice or an offer. The information provided herein contains statements on the Public Offering of notes of AS "Grenardi Group". Every investment decision must be based on a base prospectus approved by the Bank of Latvia and the final terms. An approved base prospectus and final terms are available on AS “Grenardi Group” website (https://grenardi.group).
Marta Andersone
CFO
info@grenardi.group
Tel.+371 67796000
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