Iute Group Successfully Raises EUR 140 Million with New Bonds

IuteCredit Finance S.à r.l., a part of Iute Group AS, has issued EUR 140 million in new Senior Secured Bonds maturing in 2030 with a 12% interest rate. The issuance, completed ahead of schedule, includes a refinancing of EUR 78 million from their EUR 2021/2026 Bonds. The bonds saw significant demand, with existing investors exchanging approximately EUR 52.5 million of previous bonds and new subscriptions reaching around EUR 87.5 million.

The appeal of the bonds extended to European and U.S. institutional investors, alongside substantial private investor participation amounting to about EUR 11 million. Settlement is expected by 6 June 2025, with trading anticipated on the Frankfurt and Tallinn stock exchanges by mid-June.

The CEO of Iute Group, Tarmo Sild, acknowledged the support from existing and new investors, highlighting the increased coupon rate that aligns with rising Euribor rates and U.S. Treasury yields. The company aims to maintain a stable capital structure and continue bond issuance aligned with their growth strategy.