Contact

Jeste li zdravstveni djelatnik?

Contact

Jeste li zdravstveni djelatnik?

JGL issues bonds in the amount of HRK 140 million

1 min čitanja Objavljeno: 20.4.2011.

The JGL company issued bonds in the nominal value of HRK 140 million on 20 April 2011, with maturity date as of 10 June 2016. The bonds’ interest rate is variable and it amounts to 5.7625% for the first calculating period; it was defined on the basis of the average interest rate for the last four auctions of one-year treasury notes in HRK issued by he Ministry of Finance of the Republic of Croatia which preceded the date of closing the enrolment period adding the JGL instrument risk premium of 2.25%.

It is important to note that JGL has used the means gathered through the issuing of its bonds to ensure long-term resources for the financing of the JGL Group, for financing both investment projects and the need for a long-term financing of working capital. The stated issuing was also used for partial refinancing of the old issuing from 2007 (maturity date in 2012) as well the short-term export loan by the Croatian Bank for Reconstruction and Development.

Since a bond is not an insured financing instrument, one must note that the majority of JGL’s real estate remained free in terms of collateralization of future loans ensuring a long-term perspective regarding the financing of strategic company projects. In addition to all that has been said above, the reason for being satisfied with the transaction made also lies in the issuing being carried out in “pure” HRK, what eliminates the potentially negative effect of the exchange rate fluctuations on the company business results.

Let us also mention that the investors into the bonds, 23 of them, were all local mandatory and voluntary pension funds, investment funds, banks and insurance companies. A presentation of the issuing of the bonds was organized for all stated fund representatives on 12 April 2011 within JGL premises and the company Board of Directors, supported by the Quality Assurance Director, used the opportunity to present JGL with a special overview of the production processes and capacities.

“In view of the high issuing amount, a large interest by the investors and a highly favourable interest rate, JGL is more than satisfied with the issuing results and the obvious trust the Croatian capital market has provided it with” – said the representatives of the Finances/Accounting Department which was in charge of the issuing process.