Baltikums Bank arranges issue of AS ELKO Grupa bonds
October 20, 2015
The bond offering of AS ELKO Group was successfully completed on October 14, 2015. Bonds in the amount of EUR 8 million were issued with an annual interest rate of 8%. The minimum subscription offer for investors was EUR 100,000. The bond issue was arranged by Baltikums Bank AS. The maturity date for these bonds is October 16, 2018.
Jānis Dubrovskis, head of the Baltikums Bank Investment Origination Department, says that the bank is delighted with the results: “It has been interesting for us to work on origination of debt capital for one of Latvia’s largest companies. The bonds were purchased by pension funds, investment funds, banks and high net worth individuals in the Baltics and Poland. The results showed that large and stable companies can borrow sufficient amounts on capital markets, diversifying their sources of financing and speeding up growth.”
AS ELKO Group director Svens Dinsdorfs says he is pleased that investment market participants appreciated the company’s successful IT solutions and work in wholesale of computer equipment and electronics, affirming it with this partnership. “It is important for us to diversify available financial resources and instruments because that will allow us to finance the company’s further growth and development,” he comments.
This was the second issue of bonds by AS ELKO Group. Its debut bond issue was placed in November 2007 and attracted EUR 6.5 million for a three-year term.
About ELKO Group
ELKO Group was founded in 1993 and is one of the largest IT product wholesalers, solutions and services experts in Eastern Europe with active business expansion in Central Asia. The main two courses of action are expertise in a variety of solutions and services and wholesale of computer and electronic products in the Baltic States, Central and Eastern Europe, Central Asia and CIS member states. ELKO Group represents more than 90 IT vendors and sells their goods to more than 7000 retailers, local computer producers and system integrators. ELKO Group offers more than 20 000 product titles from the most famous suppliers - Acer, Apple, Asus, Dell, HGST, Intel, Kingston, Lenovo, Microsoft, Seagate, Supermicro, Western Digital and others. At the moment, more than 700 people are employed with ELKO. ELKO Group belongs to several legal entities and investment fund Amber Trust.
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