Real estate developer launches EUR 30 mln bond issue on Bucharest Stock Exchange

Impact Developer & Contractor, one of the biggest residential real estate developers in Romania, plans to sell unsecured bonds worth EUR 30 million via the Bucharest Stock Exchange. The company will put up for sale 6,000 unsecured bonds with a nominal value of EUR 5,000 each. The bonds will pay a fixed annual interest rate of 5.75% and will reach maturity in 2022. The subscription period is December 4-8. The company plans to use the money for developing two new residential projects in Bucharest, in the Floreasca and Domenii areas, in addition to continuing the Greenfield project in Baneasa. The Floreasca project will include 130,000 sqm of residential space and will be implemented in two stages. The Domenii project will have 65,000 sqm of apartments. Impact sold residential properties worth RON 145 million (EUR 32 million) in 2016 and made a net profit of RON 29.6 million (EUR 6.5 million). Impact is controlled by local investor Gheorghe Iaciu, who owns a 49.5% stake. The company is listed on the Bucharest Stock Exchange and has a market value of EUR 64 million. Impact’s bond issue is managed by BT Capital Partners, Swiss Capital and BRK Financial Group. Local developer buys large plot in Bucharest’s corporate heaven Impact buys land in northern Bucharest for residential complex Romanian real estate developer sells EUR 12 mln bonds to Polish funds editor@romania-insider.com