Huhtamaki issues EUR 75 million hybrid bond
Huhtamäki Oyj has resolved to issue a EUR 75 million hybrid bond to Finnish institutional investors in order to strengthen the Group’s capital structure.
The coupon rate of the bond is 10.5% per annum. The bond has no maturity but the company may call the bond after three years. The bond will be treated as equity in the Group’s IFRS financial statements. The issuance of the bond will not dilute holdings of company’s shareholders.
A hybrid bond is an equity bond that is subordinated to company’s other debt obligations but senior to its other equity instruments. Holder of a hybrid bond does not have any shareholder rights.
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Source: Unipack.Ru
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