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4finance prices new EUR 175 million five year bond issue

NOT FOR RELEASE, PUBLICATION OR DISTRIBUTION IN OR INTO OR TO ANY PERSON LOCATED OR RESIDENT IN ANY JURISDICTION WHERE IT IS UNLAWFUL TO RELEASE, PUBLISH OR DISTRIBUTE THIS ANNOUNCEMENT. NOT FOR GENERAL DISTRIBUTION IN THE UNITED STATES, CANADA OR JAPAN. NOTHING IN THIS ANNOUNCEMENT CONSTITUTES OR CONTEMPLATES AN OFFER OF, AN OFFER TO PURCHASE OR THE SOLICITATION OF AN OFFER TO SELL SECURITIES IN THE UNITED STATES OR ANY OTHER JURISDICTION.

20 October 2021. 4finance S.A. (“4finance” or the “Company”) announces the pricing of its new EUR 175 million five year senior unsecured bond issue at par with a 10.75% coupon, maturing October 2026. The proceeds from the new issue will be used to repay the Company’s outstanding USD 200 million bonds.

This transaction completes 4finance’s refinancing process this year, following the earlier buyback and cancellation of USD 125 million of its bonds and the refinancing of its EUR 150 million bonds. The Company’s funding is now all in euros, which reduces the overall cost of funds.

4finance CEO, Kieran Donnelly, commented:

“This new issue fully refinances our remaining USD bonds and is the final step in our refinancing programme. We have a healthy level of cash on balance sheet and now have an improved liability profile with 20 months between the maturities of our €150m bond issue due in February 2025 and this €175m issue due in October 2026. This is a strong platform from which to further develop our business.

“We were pleased to see many of our long-term investors participating in this new issue, and to welcome many new investors, with over 80 participants in total. We appreciate your support.”

The Company issued a conditional notice of early redemption of all its remaining USD bonds on 6 October. The settlement date for this redemption is expected to be 28 October.

ABG Sundal Collier AB and Stifel Nicolaus Europe Limited acted as Joint Global Coordinators and Bookrunners, with BCP Securities LLC as Lead Manager and Gottex Brokers and Renaissance Capital as selling agents.  

Baker McKenzie LLP acted as legal counsel for the Company, and White & Case LLP as legal counsel for the Bookrunners and Lead Manager.

For more information, please contact: investorrelations@4finance.com

This announcement contains inside information as stipulated under the Market Abuse Regulation.

Certain statements in this document are “forward-looking statements”. These statements are based on management’s current expectations and are subject to uncertainty and changes in circumstances. Actual results may differ materially from those included in these statements.

A rating is not a recommendation to buy, sell or hold securities and may be subject to revision, suspension or withdrawal at any time by the assigning rating organisation. Similar ratings for different types of issuers and on different types of securities do not necessarily mean the same thing. The significance of each rating should be analysed independently from any other rating.

This announcement does not constitute or form part of any offer to purchase, a solicitation of an offer to purchase, an offer to sell or an invitation or solicitation of an offer to sell, issue or subscribe for, securities in or into the United States or to U.S. persons (as defined in Regulation S under the U.S. Securities Act) or in any other jurisdiction. No securities mentioned herein have been, or will be, registered under the U.S. Securities Act, or any state securities laws or other jurisdiction of the United States and no such securities may be offered or sold in or into the United States absent registration or an applicable exemption from, or in a transaction not subject to, the registration requirements under the U.S. Securities Act and any applicable state or local securities laws of the United States.

This announcement and the information contained herein are for information purposes only. Under no circumstances shall the Information constitute a prospectus or an offer to sell, or a solicitation of an offer to buy or subscribe for, any securities in the United States of America or in any other jurisdiction.


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