WOW Air closes bond issuance and airs plans for an IPO

Eleanor Steed
By Eleanor Steed September 20, 2018 09:18

WOW Air closes bond issuance and airs plans for an IPO

WOW Air has closed its €60 million (7.7 billion krónur) bond issue, with €10 million sold to investors. The three-year Eurobonds bear a 9% Euribor rate and purchase option on WOW shares.

Pareto Securities and Arctica Finance are bookrunners.

WOW Air confirmed that the new investors participating in the issue are international and Icelandic.

The Icelandic airline also announced that it has appointed Arion Bank and Arctica Finance to begin preparations for the company to float on the stock market in 12-18 months’ time, both in Iceland and overseas. The company expects to raise $300 million.

“We are thankful for the huge amount of support the company has received throughout this process, and to all those who took part in the bond issue. The outcome is greatly encouraging for us here at WOW air to continue our good work and carry on developing international flight connections and tourism services here in Iceland,” says CEO Skúli Mogensen.

Eleanor Steed
By Eleanor Steed September 20, 2018 09:18