Modus Group has distributed the entire EUR 8 million bond issue
Vilnius, Lithuania, 2020-12-04 08:03 CET --
Modus Group, a group of companies managing renewable energy, mobility services, car trade and other businesses, has distributed the entire bond issue in the first stage. In three weeks, the group attracted EUR 8 million from investors for 5% annual interest.
Although the bond distribution was planned in two stages, and the first three-week stage was aimed at raising EUR 5 million, the company received a lot of interest from investors and during the first stage distributed the entire EUR 8 million three-year bond issue. The bonds were purchased by over 100 private and institutional investors during a publicly distributed issue. The bonds were distributed by Šiaulių bankas.
“The issue of the group’s bonds has received active interest from investors, as it not only contributes to sustainable energy development, but also brings stable returns. This bond issue confirms that we are a great alternative to those diversifying their investment portfolios choosing bonds of companies operating in different sectors. At the same time, this is the third bond issue at the level of the entire group, so we already have our own circle of investors,” says Erika Zakarauskienė, Chief Financial Officer of Modus Group.
Modus Energy (today – Green Genius), company managed by the group, has successfully distributed the first private issue of bonds worth EUR 2 million with an average annual interest rate of 6% in 2015 In 2017 Modus Group has distributed the first public bond emission worth EUR 5 million with an annual interest rate of 5%. The funds raised during both the first and second bond issues are intended for the development of renewable energy projects. The second public bond issue, which has just been distributed, is intended to refinance the previous one, and an additional EUR 3 million raised will be invested in renewable energy projects and the development of sustainable mobility business.
“This is a good example when the company has achieved this successful result by working purposefully in the Lithuanian capital markets for 5 years. The distribution of all EUR 8 million issue already in the first stage shows that investors believe in the company’s business strategy. Renewable energy projects are of interest not only to institutional investors, but also to an increasing number of private investors, this is an interesting and promising sector,” says Tomas Varenbergas, Director of Markets and Treasury Department of Šiaulių bankas.
The newly issued bonds of the group will be included in the alternative securities market First North administered by Nasdaq Vilnius. The certified advisor of the bonds – the law firm Sorainen ir partneriai.
In total, the group of companies invested almost EUR 136 million in renewable energy projects in Europe in 2019. The group’s sustainable mobility business accounted for more than EUR 21 million of investments in the same year.