Hepsor prepares a bond programme
Publicly listed real estate developer Hepsor, in cooperation with LHV Pank, is
preparing a bond programme and plans to list the bonds on the main list of the
Nasdaq Tallinn Stock Exchange in order to diversify the company's financing
structure and ensure capital for funding projects in its diversified portfolio
across its home markets.
'The planned bond programme will give us the opportunity to react quickly when
market conditions offer good investment opportunities or favour the raising of
additional capital. Considering the length of the real estate development cycle,
it is reasonable to give projects a boost at the right moment,' said Martti
Krass, CEO at Hepsor.
Real estate development cycles are long, which is why projects often need
financing at different stages. The goal of the bond programme is to ensure
flexible access to capital for the company, precisely when market conditions are
most supportive. The raised capital will be directed towards the implementation
of ongoing and new residential and commercial development projects. Hepsor's
portfolio includes a total of 30 projects in different stages of development -
15 in Estonia, 10 in Latvia, and 5 in Canada.
'The advantage of our bond programme, which is aimed at retail investors, is
that we do not tie the raised capital to a specific project or market, but to
our overall development plan. Our cash flows are stable and based on a
geographically and segmentally diversified development portfolio, encompassing
both residential and commercial real estate, markets in Estonia, Latvia and
Canada, as well as projects in various stages of the development cycle. This
provides investors with security and diversifies risk, as the investment does
not depend solely on the success of a single development,' added Krass.
As part of the planned programme, Hepsor intends to apply for the bonds to be
listed for trading on the Baltic Bond List of the Nasdaq Tallinn Stock Exchange.
Hepsor's shares have been listed on the main list of the Baltic Stock Exchange
since 2021.
Hepsor invites all interested parties in Estonia on 13 November and in Latvia on
14 November to the autumn-winter investor meetings, where the company's CEO,
Martti Krass, will provide an overview of the development portfolio and the
situation in the home markets, as well as of the company's planned investments
and bond programme. Participation is open to all, and more detailed information
will be published on Hepsor's website.
The public offering of the bonds is subject to the approval of the prospectus by
the Financial Supervision Authority. Hepsor will issue a separate notice
concerning the approval of the prospectus, the start of the bond offering, and
the related terms and conditions.
Hepsor is a company, founded in 2011, that has grown from a builder of apartment
buildings into a modern developer of residential and commercial real estate. The
company currently operates in Estonia, Latvia and Canada. Hepsor's strength lies
in innovation and an environmentally conscious approach, resulting in the
creation of not only buildings but also complete living and business
environments.
This notice is intended solely for informational purposes and refers to a
potential future offering. It should not be regarded as an offer to sell bonds
or investment advice. Likewise, no sale or public offering of bonds will take
place in any country or jurisdiction until the relevant prospectus or other
required offering document has been duly approved, registered or published in
accordance with applicable law.
Martti Krass
Member of the Management Board
Phone: +372 5692 4919
E-mail: [email protected] (https://www.globenewswire.com/Tracker?data=i-EyQ9hO-
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