EQS-Adhoc

4finance launches EUR 2025 bond refinancing

EQS-Ad-hoc: 4finance S.A. / Key word(s): Bond 4finance launches EUR 2025 bond refinancing 02-Oct-2023 / 16:27 CET/CEST Disclosure of an inside information acc. to Article 17 MAR of the Regulation (EU) No 596/2014, transmitted by EQS News - a service of EQS Group AG. The issuer is solely responsible for the content of this announcement.

---

4finance launches EUR 2025 bond refinancing

Amendment process follows consultation with bondholders and supportive feedback
Provides 20% deleveraging opportunity and continuity for growing retail investor base

2 October 2023. 4finance Holding S.A. (the “Group”), one of Europe’s largest digital consumer lending groups, announces it has commenced the formal process to extend the maturity of its February 2025 bonds to May 2028. The invitation to vote on the amendments to the terms and conditions of the bonds has been published today in the German Federal Gazette and on the Group’s website, alongside other supporting documents. 

Since publication of its Q2 results, the Group has consulted with leading bondholders representing a majority of its institutional and larger retail investor base and received broad support for the proposals. If the resolution is successfully passed, bondholders who participate in the vote will receive a 1.25% participation fee.
The Group also proposes to enhance the bonds by resetting the call structure, adding its Philippines business as a Guarantor and providing for a 20% reduction in issue size by cancelling EUR 15m of bonds owned by the Group and granting a put option for EUR 15m at par in Feb 2025. Further details are in the notes to this release and in the invitation to vote.

Kieran Donnelly, CEO of 4finance commented:
“Over the years we have always taken a proactive approach to managing our liabilities responsibly. That is why we are approaching investors well in advance of the February 2025 maturity. Our business is performing well and our balance sheet is strong and liquid. This amendment draws on these strengths with a further 20% deleveraging and indeed enhances the credit by maintaining a balanced maturity profile.  Lastly, we are pleased that this process facilitates our large and growing group of retail supporters.”