(Alliance News) - Borgosesia Spa announced on Monday that it has resolved to issue a senior, non-subordinated, unsecured, non-convertible bond in one or more tranches with a term of five years - but with amortization on a straight-line basis starting from the end of the second year - for a maximum amount of up to EUR30.0 million with the first issue date scheduled no later than May 25 next year.

Borgosesia will apply for admission of the bond to trading on the Euronext Access Milan segment, organized and managed by Borsa Italiana.

The bonds, the statement says, will accrue a variable annual gross interest rate equal to the 3-month Euribor plus 500 basis points without prejudice to the fact that on any date after June 30, 2026, the company will have the right to extinguish the bond early, in whole or in part.

On initial subscription, the bonds - which will have a unit par value of EUR1,000 and will be issued for 100 percent of the par value - may only be subscribed by each subscriber for a minimum amount of EUR100,000.00, or more, in multiples of EUR1,000.

In line with the development forecasts articulated in the 24-26 Strategic Plan approved by the company in December, "the issuance of the bonds will make it possible to make the group's financial management more efficient and to support both its activity of enhancing the value of the real estate portfolio owned and, above all, that of co-investment based on the aforementioned plan," the company specified in a note.

Borgosesia's stock closed Friday flat at EUR0.70 per share.

By Chiara Bruschi, Alliance News reporter

Comments and questions to redazione@alliancenews.com

Copyright 2024 Alliance News IS Italian Service Ltd. All rights reserved.