Menu
NEWS

New issue of BEST retail bonds with a value of PLN 50 million

Subscriptions for 4.5-year BEST bonds with a total value of PLN 50 million will be launched on 10 October. BEST bonds to be issued will bear interest at a variable rate equal to WIBOR 3M plus a 3.3% margin (which means approx. 5% per annum in the first interest period). The offering is addressed to retail investors, and subscriptions will be accepted by more than 30 facilities of the Brokerage House of PKO Bank Polski.

 

‘Similarly to previous BEST bond issues, proceeds from the issue will be used for further development of the BEST Group. We seek to raise financing on the best possible conditions, while offering attractive parameters to investors. In 2016, our Group has experienced dynamic growth both with regard to key financial results and investments in new debt portfolios. In the first half of this year, we invested nearly PLN 85 million in debt portfolios with a total nominal value exceeding PLN 520 million. Traditionally, the last months of the year bring an increased supply of bank debts. Growing repayments of purchased debt portfolios and proceeds from the bond issue will allow us to actively participate in debt trading and to grasp investment opportunities’, said Krzysztof Borusowski, President of BEST.

 

The public offering of R1 series bonds covered 500,000 bonds with a nominal value of PLN 100 each, totalling PLN 50 million. R1 series bonds are 4.5-year bonds (maturing in April 2021) which will bear interest at a variable rate equal to WIBOR 3M plus a 3.3% margin. This gives approximately 5% per annum in the first interest period.

 

The offering is addressed to retail investors who may subscribe for BEST bonds in more than 30 facilities of the Brokerage House of PKO Bank Polski, also online and by phone.

 

R1 series bonds will bear interest as of the first subscription date. The issue price will thus depend on the date on which the subscription is made. On the first day the issue price will be equal to the nominal value of the bonds, i.e. PLN 100, and on subsequent days it will be increased by the equivalent of accrued interest (see the table below).

 

 

Subscription date

Issue price
of R1 series bonds (PLN)

10 October 2016

100.00

11 October 2016

100.01

12 October 2016

100.03

13 October 2016

100.04

14 October 2016

100.05

15 October 2016

100.07

16 October 2016

100.08

17 October 2016

100.10

18 October 2016

100.11

19 October 2016

100.12

 

Subscriptions for R1 series bonds will be accepted from 10 to 19 October 2016. If investors subscribe for more bonds than the Company offers, the subscription period may be shortened. This has taken place in three out of five public issues of BEST bonds addressed to retail investors.

 

If subscriptions are placed for more bonds than the offered pool (“Oversubscription Date”), subscriptions will only be accepted until the end of the next working day and the subscriptions placed on the last two days of the subscription period will be proportionately reduced. If this is the case, the full offered pool of bonds will only be allotted to the investors who place subscriptions prior to the Oversubscription Date.

 

Schedule for the public offering of BEST R1 series bonds:

 

The start day for accepting subscriptions (“Subscription Start Date”):

10 October 2016

Subscription End Date:

19 October 2016

Allotment Date:

20 October 2016

Anticipated Issue Date:

3 November 2016

Anticipated First Day of Bond Listing:

9 November 2016

 

The public offering of R1 series bonds is the first issue conducted under the second public issue programme for BEST bonds of a total value of up to PLN 200 million.

 

In the first half of 2016, BEST completed the first two-year public issue programme for bonds of a total nominal value of PLN 300 million. This year's retail issues carried out under this programme (L2 and L3 series) of a total nominal value of PLN 90 million ended in oversubscription. In the two cases, the subscription period was shortened to two days and the reduction was 64% and 50%, respectively.

 

***

General information about BEST

BEST S.A. specialises in trading in and managing non-performing debts, and has been listed on the Warsaw Stock Exchange since 1997. The BEST Group actively invests in debt portfolios (especially in bank debts) using securitisation funds, and provides debt collection services to third parties: banks, telecommunication and power companies, as well as other providers of general services.

 

BEST is also the sole shareholder of BEST TFI, which manages investment funds with assets totalling PLN 640 million (as of 30 June 2016). Combined expertise in debt collection and in establishment and management of investment funds allowed the entity to concentrate all elements of the business model within a single capital group.

 

The total nominal value of own and third party claims managed by BEST exceeds PLN 11 billion (as of 30 June 2016).

 

In 2015, the BEST Group generated a net profit of PLN 82 million with operating income amounting to PLN 140 million.

 

To receive more information, visit www.best.com.pl or contact us at:

Krzysztof Woch

NBS Communications

tel. 22 826 74 18 / mobile 516 173 691

email address: kwoch@nbs.com.pl

Maciej Szczepaniak

NBS Communications

tel. 22 826 74 18 / mobile 514 985 845

email address: mszczepaniak@nbs.com.pl

 

You can also follow the BEST Group on Twitter: https://twitter.com/BEST_Grupa

 

***

This material is for promotional purposes only. The only legally binding sources of information on public offering of bonds conducted by BEST S.A. (the Issuer) under the issue programme established by the Issuer include: the Base Prospectus, which was approved by the Polish Financial Supervision Authority (KNF) on 3 October 2016, addenda and updates to the Base Prospectus, and the Final Terms of Bond Issue. The Base Prospectus, addenda and updates to the Base Prospectus and the Final Terms have been published and are available electronically on the Issuer's website (www.best.com.pl) and also, for information purposes, on the website of the Brokerage House of PKO Bank Polski (www.dm.pkobp.pl).

BACK