Romanian non-bank lender Ocean issues 5-yr bonds at 7.14% yield
Ocean Credit, a non-bank lending institution that operates a fully digital service chain, issued EUR 1.84 mn bonds denominated in euros in a private placement on the Romanian market, Wall-street.ro reported.
The bonds will be later listed at Bucharest Stock Exchange (BVB).
Having attached an 8.75% coupon, the bonds were issued at a 1.5% discount - resulting in a yield of 7.14%. Ocean Credit, the issuer, has the option to redeem the papers after a three-year period. The bonds were issued in a private placement to a number of 13 selected bidders, out of which six institutions.
Ocean Credit charges Effective Annual Rates (DAE) of 99.92% for loans of up to RON 4,500 (EUR 900) - according to the company’s website. The average credit granted by Ocean Credit is at the level of RON 2,800 (EUR 500), and the recurrence rate - namely the share of the borrower refinancing their loans with Ocean Credit - is at a very high level, of 80%.
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