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Published: 2023-05-31 14:01:22 CEST
Storent Investments
Inside information

Storent Holdings places a bond offer

Insider information, 2023-05-31 14:01 CEST --  

Latvia's leading construction equipment rental company Storent Holdings, one of the largest suppliers in the Baltic states, has announced the public offering of its bonds, based on the prospectus published on the company's website and Nasdaq Riga.

In the words of Andris Pavlovs, co-founder of Storent and Board member of Storent Holdings: “Storent Investments first issued bonds already back in 2017. Now subscription for the first Storent Holdings bonds is being opened. An investment in Storent is an investment in the development of modern, safe, and sustainable construction equipment rental processes in the Baltics and Nordics.”

On 31 May 2023, the Bank of Latvia registered the Base Prospectus for the Issuance of Notes of Storent Holdings SIA (please see attached) and permitted Storent Holdings SIA to make a public offering of notes.

Storent Holdings approved the final terms of the first tranche under the program.

Main terms of the offering

Storent Holdings is offering 150 000 notes with a nominal value of 100 euros per note. The maturity date is 21 December 2025.

The interest rate will be determined through an auction where investors can choose from three options – 9%, 10% or 11%. The auction is open for both institutional and private investors. The subscription period starts on 2 June and will last until 16 June, 2023, 15:30 EEST, with the results being announced on 19 June.

Bonds are planned to be listed on Baltic Bond List shortly after the issue date.

Exchange of previous notes

Owners of Storent Investments notes (ISIN: LV0000802411 with maturity on 19 October 2023) may exchange each note for Storent Holdings notes. The exchange ratio is one-to-one and any number of existing notes may be used for the exchange. Every investor participating in the exchange is entitled to a fee of 0.50% (zero point five zero) percent of the nominal value of the existing notes that the investor has exchanged.

Timetable of the offering 

Start of the offer period 2 June 2023

End of the offer period 16 June 2023

Announcement of the results 19 June 2023

Settlement 21 June 2023

Listing around 26 June 2023

Invitation to participate in a webinar

Potential investors are welcome to join an investment webinar call with the management of Storent Holdings on 6 June, at 14:00 EEST. The company's management will present the bond offer and address questions raised.

In 2022, Storent Holdings showed a net profit of 4.7 million euros. Last year the company’s equity reached 23 million euros, which makes up 45% of its balance sheet and significantly improves the stability of the group. In 2023, Storent Holdings plans to increase its revenue by 10% and reach a net profit of around 5 million euros.

On 28 December, 2022, changes were made in the composition of Storent Investments shareholders, and Storent Holdings SIA became its sole shareholder. Consequently, Storent Investments AS and its subsidiary companies became part of the newly established holding company, which also includes the equipment rental companies SELECTIA SIA and SELECTIA PLUS SIA.

Storent Investments AS and its subsidiaries have a modern rental fleet, a large rental depot network, and a wide customer base, as well as a very well-developed brand, an experienced team, and digital know-how. SEL Investments SIA and its two subsidiaries own around 50% of the construction equipment fleet that Storent Holdings SIA operates. The merger of the two companies enables the group to increase its expertise and improve its financial ratios so that Storent Holdings SIA can continue to develop at a significantly higher speed and with greater profitability.

About Storent:

Storent was established in 2008 with the goal of developing an efficient construction equipment rental company. It is the largest construction equipment company in Latvia and has one of the largest market shares in Estonia and Lithuania, with an additional market presence in Finland and Sweden. Storent currently operates a total of 26 rental depots.

For media inquiries please contact:

Baiba Onkele

Storent Holdings CFO

Mobile: + 371 29340012

E-mail: baiba.onkele@storent.com


2023.05.25. Base Prospectus Storent Holdings SIA.pdf
2023.05.31. Final Terms Storent Holdings SIA EN.pdf
2023.05.31. Issue Specific Summary EE.pdf
2023.05.31. Issue Specific Summary LT.pdf