Inbank issues bonds to support international growth

Inbank has announced a 6.5 EURm subordinated bond issue with the redemption term of 10 years. In case of oversubscription, the size of the issue may be increased up to 8 EURm. The primary purpose of the offering is to strengthen the capital structure of Inbank and contribute to the expansion of Inbank’s innovative consumer finance product portfolio in Europe.

According to Priit Põldoja, Chairman of the Supervisory Board of Inbank, raising funds will also enliven the Estonian bonds market. “Inbank’s goal is to further diversify its investor base and give the local retail investors an opportunity to become part of the international growth of a local bank,” said Põldoja who believes high-yield subordinated bonds are an attractive prospect for investors to diversify their portfolio.

Inbank bonds will be listed on the Baltic Bond List of the Nasdaq Tallinn Stock Exchange and offer an annual interest rate of 6%. “With quarterly interest payments, we are creating an opportunity for investors to earn a regular return on their investment,” Põldoja noted.

In 2016, Inbank’s initial bond issue of EUR 5 million was more than doubled and the bank issued bonds totaling EUR 6.5 million. The bonds listed on the Baltic Bond List of the Nasdaq Tallinn Stock Exchange have been traded for more than EUR 1.5 million in the last three years.

Inbank subordinated bonds with a ten-year maturity are offered at a price of 1,000 euros per bond. The subscription of Inbank Bonds will begin at 10 am on December 3 and end at 4 pm on December 13. The bonds will be listed on the Nasdaq Tallinn Stock Exchange in the Baltic Bond List on or about December 20, 2019.

More about the bond issue:

Inbank is a consumer finance focused digital bank active in the Baltics and Poland with additional deposits accepted in Germany, Austria and the Netherlands. Inbank has over 1,750 active partners and 550,000 active contracts. Inbank bonds are listed on the Nasdaq Baltic Stock Exchange.

Additional information:

Kärri Brewster-Palts
Inbank AS
Head of Group Marketing
+372 5565 5500