Today, an opening bell ceremony was held at Kalaranna Kvartal to mark the start of trading in Pro Kapital’s newly issued €10 million bonds.

According to Kaarel Ots, Head of Nasdaq Baltic Exchanges, Pro Kapital’s latest bond issue is a good example of how an issuer whose shares are listed on the Nasdaq Baltic Main List can successfully make use of different markets and capital-raising instruments to finance and expand its business.

“The purpose of every opening bell ceremony is to remind us that the stock exchange is there to provide companies with more options for financing their activities, while offering people who want to put their money to work a transparent investment platform with clear rules,” he noted.

According to Andrus Laurits, Managing Director of Pro Kapital, the successful bond issue, which was twice oversubscribed, enabled the company to consolidate its financing in the Baltic States, where Pro Kapital’s business operations and real estate portfolio are also located.

“We would like to thank all investors who subscribed to the bonds for their strong interest and trust, and for contributing to the implementation of Pro Kapital’s future plans,” Laurits added.

“This is the largest bond issue among residential real estate developers in the Baltics this year, while the 8.3% interest rate also represents the sector’s lowest risk premium over the base interest rate. Demand from both institutional and retail investors sent a clear message: investors value Pro Kapital’s profitability and strong balance sheet,” said Silver Kalmus, Head of Debt Securities at LHV Pank, which organised the offering.

The public offering of AS Pro Kapital Grupp bonds, which ended on 18 September, was twice oversubscribed by retail and professional investors across the Baltic States. As a result, the company decided to increase the total volume of bonds issued to €10 million. A total of 985 investors participated in the offering, subscribing for bonds worth €11,976,000.

AS Pro Kapital Grupp is a real estate developer established in 1994, with its core operations focused on Tallinn, Riga and Vilnius. Over its 32 years of operations, the Group has developed more than 515,000 square metres of gross area and has more than 322,000 square metres of planned gross area in its development portfolio. Pro Kapital’s shares have been listed on Nasdaq Tallinn since 2012 and have been included in the Baltic Main List since 2018.

Additional information

AS Pro Kapital Grupp
Andrus Laurits, Managing Director | +372 614 4920 | andrus.laurits@prokapital.com

Important information

The offering has ended and, therefore, the sole purpose of this announcement is to disclose information regarding the commencement of trading in the bonds (and not to promote the subscription for or acquisition of securities). The information contained in this announcement is not intended for publication, distribution or transmission, in whole or in part, directly or indirectly, in any country or under any circumstances where such publication, distribution or transmission would be unlawful, or to persons who are subject to financial sanctions imposed by competent authorities.