Opus issues USD 50 million L/C backed bonds in the U.S.
Opus Group AB (publ) has issued USD 50 million Taxable Corporate Notes, commonly known as Letter of Credit (L/C) backed bonds, in the U.S. The proceeds from the transaction will be used for refinancing of existing debt, thereby securing our cash position to support Opus’ continued growth.
The L/C backed bonds of USD 50 million carry a variable short-term taxable interest rate, in line with LIBOR 7 days. The L/C backed bonds are guaranteed through a letter of credit issued by Swedbank AB (publ), New York Branch. The letter of credit has a maturity of three years and is extendable upon agreement. S&P Global Ratings has assigned long-term and short-term issue credit rating of “AA-/A-1+” for the L/C backed bonds. The maturity under the framework of the L/C backed bonds is 15 years. The bonds may be prepaid by Opus, in whole or in part, at no additional cost.
“These L/C backed bonds will further decrease Opus’ foreign exchange exposure in USD, lower our financing cost and support our growth plan”, says Linus Brandt, CFO and Executive Vice President of Opus.
Opus is a leading vehicle inspection and vehicle services company headquartered in Sweden, with operations in Europe, North and South America and Asia.
For additional information, please contact:
Lothar Geilen, CEO
Tel: +46 31 748 34 00
Linus Brandt, CFO & Executive Vice President
Tel: +46 722 44 09 05