The initial public offering of BEST's retail bonds is a success

The demand for K1 series bonds exceeded the supply as early as on the fourth day of the subscription period


Investors subscribed for all K1 series bonds offered by BEST, with a total par value of 45 million PLN. The number of bonds subscribed for exceeded the available pool as early as the fourth day of the subscription period. Accordingly, the subscription period is shortened.


Subscriptions for K1 series bonds, offered in the public offering addressed at retail investors, began on Monday, 31 March, and already by Thursday, 3 April, the total number of bonds for which the investors had subscribed exceeded the offered pool (on 3 April, i.e. the Oversubscription Day). Accordingly, the subscription period is shortened. The subscription end date, originally specified to be 11 April 2014 has been brought forward to 4 April 2014.


According to the final terms of issue for K1 series bonds, the investors that had placed their subscriptions before the Oversubscription Day, i.e. between 31 March and 2 April inclusive, will be allotted the bonds in accordance with their subscriptions (100% allotment). Subscriptions placed on 3 and 4 April 2014 will be proportionately reduced.


“We were very happy to see that already by the fourth day of subscriptions, all retail bonds in our offer found their owners. We considered it to be evidence of investors' confidence in our Company – one of the largest and most experienced entities in the debt trading market. The situation also confirms our observations that on the capital market there is a large demand for corporate bonds offered by credible issuers because such bonds make an attractive alternative to other products, such bank deposits,” says Krzysztof Borusowski, President of BEST.


BEST has offered retail investors 450,000 K1 series bonds of a par value of 100 PLN each. Consequently, the total par value of the issue amounts to 45 million PLN. 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.


The public offering of K1 series bonds is 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. Issue agents for BEST bonds within the programme are: mBank S.A. and mBank Brokerage House.


The Company plans to introduce the offered bonds to trading on the regulated market operated by WSE-Catalyst. The market maker for K1 series obligations will be mBank. “In accordance with our earlier announcements, the funds raised by the public issue of bonds will be spent on further development of the BEST Group, primarily on new investments in non-performing debt portfolios. The pace and scale of our investments will depend on the supply and prices of debt offered for sale. The factor will be decisive in setting the dates for subsequent issues of BEST bonds within the framework of the adopted programme. We see that the first significant mortgage debt portfolios are beginning to surface on the market. This is the segment that we perceive as an opportunity for our further development,” concludes Krzysztof Borusowski.


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 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.