The total value of correct subscriptions placed in the initial public offering of BEST's retail bonds amounted to 54.7 million PLN. The available limit was exceeded already by the fourth day of the subscription period, so the latter has been shortened by more than a week. Subscriptions placed during the last two days have been reduced on average by 78%. Finally, K1 series bonds with a par value of 45 million PLN were allotted to 978 investors.
The public offering of K1 series bonds was the first issue conducted by BEST as part of the public issue programme for bonds of a total par value of up to 300 million PLN. It was also the first of the Company's offerings addressed to retail investors.
Subscriptions for K1 series bonds started on 31 March, and the available limit of subscriptions for 450,000 bonds with a par value of 100 PLN each was exceeded already by the fourth day of the subscription period, i.e. on 3 April. Therefore, the end date for subscriptions, originally specified to be 11 April was moved back to 4 April 2014. Correct subscriptions were placed by 988 investors, ready to purchase a total of 547,124 bonds for more than 54.7 million PLN. The average value of subscriptions placed by one investor amounted to nearly 55,400 PLN.
Finally, 450,000 K1 series bonds will be allotted to 978 investors. In accordance with the terms of issue, in the case the investors that had placed their subscriptions by 2 April inclusive, the allotment rate was 100%. Subscriptions placed on 3 and 4 April 2014 have been proportionately reduced. The average reduction rate amounted to 78%.
The Company plans to introduce K1 series bonds to trading on the regulated market operated by the WSE as part of its bond market – Catalyst in the first half of May 2014.
K1 series bonds are 4-year bonds, interest-bearing at a variable rate based on WIBOR 3M plus a margin of 3.8%. Interest will be paid out to investors every 3 months.
This press release is for promotional purposes only. The only legal source of information on the public offering of BEST S.A. bonds is the Basic Prospectus, which has been approved by the Polish Financial Supervision Authority (KNF) on 21 March 2014, and the Final Terms of Bond Issue. The Basic Prospectus and the Final Terms have been published electronically and are available on the Company's website at www.best.com.pl. The Bonds will not constitute a bank deposit or be covered by the deposit guarantee scheme. Risk factors related to the acquisition of bonds are described in the Basic Prospectus.
BEST: Company Overview
BEST S.A. is a company that has been listed on the Stock Exchange in Warsaw since 1997, specialising in trading in and managing of non-performing debt. The BEST Group actively invests in debt portfolios (especially banking ones) with the use of securitisation funds, and also provides debt collection services for third parties: banks, telecommunication operators and power companies, and other mass service providers.
BEST is also the sole shareholder of BEST TFI, which obtained a licence to operate from the Polish Financial Supervision Authority (KNF) in 2008. The combination of expertise in the field of debt collection with that in the establishment and management of investment funds helped the entity to concentrate all elements of its business model within one capital group.
BEST TFI currently manages three securitisation funds: BEST I NSFIZ, BEST II NSFIZ and BEST III NSFIZ, the assets of which include debt portfolios with a total par value of 7.8 billion PLN (as at the end of February 2014).
In accordance with the report published for Q4 2013, operating revenue of the BEST Group earned in 2013 reached almost 124 million PLN, i.e. about 61% more than in 2012. Net profit attributable to BEST shareholders amounted to 69.7 million PLN, which represents an increase of 166%. On the other hand, comprehensive income attributable to BEST shareholders amounted to 71.5 million PLN (+162%).