FCMC approves amendments to the IPO prospectus of AS DelfinGroup
Riga, 2021-10-11 14:05 CEST --
On 11 October 2021 Latvian Financial and Capital Market Commission (FCMC) has approved the supplements to the initial public offering (IPO) prospectus of the Latvian financial services company AS DelfinGroup. The prospectus was supplemented with current financial information on certain operational and financial indicators for the 3rd quarter of 2021. Prospectus Regulation (EU) 2017/1129 stipulates that after the publication of a supplement to a prospectus, investors who have already submitted a subscription undertaking for the offer shares prior to the publication of a supplement are given at least two working days to contemplate the new information and withdraw their subscription undertaking, if decided. Taking into account the mentioned requirement, AS DelfinGroup has made a decision to extend the IPO and to additionally provide an opportunity for new investors to submit a subscription undertaking within the IPO. Consequently, the IPO of AS DelfinGroup will close on October 14 (inclusive).
Didzis Ādmīdiņš, Chairman of the Board of AS DelfinGroup: “Taking into account that the third quarter results show significant development trends for the company, which confirm the validity of the long-term financial indicators included in the prospectus, we decided to include these latest data in the IPO prospectus. Good governance means that all up-to-date information must be equally available to all potential investors and the prospectus is the main legal document that investors are relying on in the IPO process.”
The selected third quarter items disclosed results of last week via a Nasdaq announcement (https://nasdaqbaltic.com/statistics/en/news/323590) confirm the validity of the longer-term financial targets included in the IPO prospectus. Among other things, the prospectus is supplemented with the information that EUR 15.3 million of loans were issued in the third quarter of 2021, which is 29.7% more than in the previous quarter. As a result, the Company's total net loan portfolio reached a historical high of 35.8 million euros representing a 32% year-on-year increase. AS DelfinGroup targets to reach a net loan portfolio of 51 million euros by the end of 2022 and to exceed a net loan portfolio level of 70 million euros by the end of 2024.
Subscription for AS DelfinGroup shares started on 28 September and will close on 14 October (inclusive). The price per offer share is EUR 1.52. The minimum share subscription amount per investor: starting from 1 share. The maximum subscription for shares is not limited. The supplemented IPO prospectus is available on the website: https://www.fktk.lv/wp-content/uploads/2021/10/Supplement-No-1-to-DelfinGroup-IPO-Prospectus.pdf,
AS DelfinGroup is publicly offering up to 7,300,000 shares (plus up to 1,095,000 additional shares pursuant to an over-allotment option if exercised) to be listed and admitted to trading on Baltic Main List of Nasdaq Riga. LHV Bank and the law firm Eversheds Sutherland Bitāns are acting as AS DelfinGroup IPO advisors.
About AS DelfinGroup
AS DelfinGroup is a licenced technology-based financial service company that was established in 2009 and operates under the brand names Banknote and VIZIA. The company continuously develops and offers consumer and pawn loans, loans developed for senior citizens, Buy now pay later loans (BNPL loans), as well as sale of pre-owned goods both online and at more than 90 branches across Latvia. On average, 35,000 thousand loans are issued every month and serviced by the professional team of more than 250 AS DelfinGroup employees. The company has a total of over 400,000 registered customers. Since 2014, AS DelfinGroup has been known on the Nasdaq Riga as a bond issuer. The company regularly pays dividends to its shareholders. In 2020, the company's net loan portfolio grew to EUR 34.6 million, while its EBITDA reached EUR 9.3 million, with profits before income tax for dividends of EUR 4.65 million. The company’s sustainability is based on focused corporate governance, fintech innovation, responsible lending, financial inclusion and facilitating the circular economy. The company has been profitable every year since 2010.
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