Finnair has issued a senior unsecured €200 million bond, due 29 March 2022, with a fixed annual interest at the rate of 2.250 percent and an issue price of 99.925 percent. The bond is callable before its final maturity.
“Finnair’s prudent execution of its accelerated growth strategy and continued improvement in financial performance are reflected in pricing of the long-term funding. With this transaction, Finnair utilised the favourable market conditions and was able to lengthen the average maturity in its debt portfolio with competitive terms,” says Finnair’s CFO Pekka Vähähyyppä.
Application will be made for listing of the Bond on Nasdaq Helsinki. The proceeds from the Bond offering will be used to refinance some of Finnair’s existing indebtedness, including the partial redemption of the bond maturing in 2018, and for general corporate purposes.
Danske Bank and Nordea Bank act as lead managers for the issue of the bond.Date: March 23, 2017