Gevo’s Net-Zero 1 invited by US DOE for $950 million loan guarantee
8th August 2023
Finnair has issued a €200 million capital securities which will pay a coupon of 10.25%, until the step-up date of 3 September 2023 when it will increase to 15.25%.
The hybrid bonds don’t have a specified maturity date, but the Finnair is entitled to redeem them at par on any day during the three month period prior to and including the step-up date, and subsequently, on each annual interest payment date . The issue date is expected to be on September 3.
The bonds constitute subordinated obligations of the Finnair and will be treated as equity in the Company’s consolidated financial statements prepared in accordance with IFRS.
”Refinancing of the existing hybrid bond further supports our balance sheet strength”, says Finnair’s chief financial officer Mika Stirkkinen. “In addition to the support of our shareholders as demonstrated by our successful rights issue, we maintain a diversified investor base by using equity instruments, such as the hybrid bond, as we seek to mitigate the impacts of the COVID-19 pandemic on our capital structure”.
The proceeds of the offering will be used, on or about the issue date or shortly thereafter, for the financing of the redemption of Finnair’s existing debt. Citigroup Global Markets Limited, Nordea Bank and OP Corporate Bank acted as joint lead managers.