Lumo Kodit prices EUR 300 million bond issuance
Lumo Kodit Oyj has successfully priced the issuance of a EUR 300 million bond under its EMTN programme. The proceeds will be used to partly refinance an acquisition financing facility drawn earlier this year.
Helsinki – Lumo Kodit Oyj has successfully priced the issuance of EUR 300 million senior unsecured notes (the “Notes”) under its Euro Medium Term Note (EMTN) programme. The euro-denominated Notes have a maturity of four years, maturing on 20 May 2030, and carry a fixed annual coupon of 4.000 per cent.
The proceeds from the issuance are intended to partly refinance the EUR 600 million acquisition financing facility drawn earlier this year. This facility was used to partially finance the acquisition of a housing portfolio comprising 4,761 apartments from Varma.
Lumo Kodit will apply for the Notes to be admitted to trading on the regulated market of Euronext Dublin. The Notes are expected to be rated Baa2 by Moody's.
"We are very pleased with investors’ strong interest in the company. We will use the proceeds of the bond to refinance half of the acquisition financing, in line with our plan," said CFO Erik Hjelt.
Lumo Kodit Oyj is Finland’s largest residential real estate company, investing in sustainable, modern, and digital solutions to facilitate smooth and flexible rental living.