The notes will be maturing in 10 years and are callable after 5 years, subject to market conditions, which will be offered to eligible counterparties and professional clients outside the United States of America. 

NLB published an announcement on the Ljubljana Stock Exchange stating that they have mandated UBS Investment Bank together with NLB to organize issuance of Tier 2 subordinated notes.

The mentioned notes will be maturing in 10 years and are callable after 5 years, subject to market conditions, which will be offered to eligible counterparties and professional clients outside the United States of America. 

As a reminder, the company has on 17 September 2019 entered into a loan agreement relating to a EUR 45m of subordinated Tier 2 loan intended for the inclusion into additional capital to strengthen and optimize its capital structure. However, the company may only include the loan in calculation of additional capital according after obtaining an approval from the ECB. NLB noted that since such approval has not been granted by 23 December 2019 and it was not expected to be granted in the near future, the company decided to exercise the prepayment of the loan in January 2020.

NLB added that the mentioned prepayment of the loan will not jeopardize compliance by the company with the regulatory capital requirements, including capital buffers and other currently known requirements, applicable to it.

To read more about NLB, click here.

Earlier today the company published an announcement on the ZSE stating that they have concluded a loan of up to HRK 150m with Hrvatska Poštanska Banka (HPB).

Following up on the Government issuing state guarantee for Đuro Đaković, earlier today the company published an announcement on the Zagreb Stock Exchange stating that they have concluded a loan of HRK 150m with Hrvatska Poštanska Banka (HPB).

As a reminder, the mentioned state guarantee amounts to HRK 300m, which represents 100% of the approved credit and/or financial framework. Of that amount, HRK 150m will be used, after the adoption of this decision, to create preconditions for unfreezing accounts, starting production and completing started contracts with customers, and paying obligations to customers financial institutions, as well as obligations towards the Republic of Croatia.

The other HRK 150m is intended for working capital for production in the facilities of the company Đuro Đaković Specijalna vozila, mainly for payment to suppliers, credit obligations, guarantees for good performance of work, advances received. The mentioned amount will be used upon receiving the consent of the European Commission in accordance with the guidelines of the European Commission on State aid for rescuing and restructuring non-financial undertakings in difficulty.