Restart Energy plans to raise EUR 6.5 mln with Bucharest Exchange listed bond

Romania's Restart Energy One, an independent energy supplier that is also developing renewable energy projects, announced plans to issue 5-year bonds denominated in euros with a 9.5% coupon attached "to finance the company's accelerated expansion."

It is not clear whether the bond issue is replacing or preceding the IPO announced by the company last October.

The offering of the new corporate bonds is brokered by Tradeville. The offer will be conducted through a private placement addressed to a maximum of 149 retail investors.

The company issued RON 16.4 million (EUR 3.3 million) 5-year bonds, denominated in local currency, in April 2021. The bonds, traded at Bucharest Exchange, were issued with a 9% coupon attached and are traded currently at a yield-t-maturity of 10.42%.

The company says that, in the past two years, it has shifted its focus from energy supply to energy transition – meaning the development of renewable energy projects.

Restart Energy, one of the largest independent electricity suppliers in Romania, which has a bond issue underway on the Bucharest Stock Exchange (BVB), is preparing to raise "several tens of millions of euros" through a new share listing on the exchange in the spring of 2024, according to an announcement made by Valentin Bârgău, Restart Energy's VP of corporate operations, at a conference last October.

"We aim to list on the main market a package of about 30% through a capital increase. It's a process we're going through now," he said.

The funds obtained through the listing will be directed toward the development of all business lines.

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