AS Grenardi Group, a leading jewellery retailer in the Baltics, has successfully raised EUR 7 million through its subordinated bond offering. Total investor demand reached EUR 9.01 million, exceeding the initial target by approximately 30%. More than 600 retail and institutional investors from Latvia, Estonia and Lithuania participated in the offering.
The offering attracted strong interest from both new investors and existing bondholders participating in the bond exchange offer. Of the total demand, approximately EUR 4.2 million came from new subscription orders, while EUR 4.8 million was generated through the bond exchange offer.
Based on investment volume across the Baltics, investors from Latvia were the most active in the new subordinated bond offering, accounting for 76% of the total demand, followed by investors from Estonia (19%) and Lithuania (5%).
“We are pleased with the strong investor participation and high level of engagement in the offering. The participation of existing bondholders in the bond exchange offer is particularly significant, as it reflects confidence in the Group’s development strategy. At the same time, the participation of new investors broadens our investor base and strengthens the foundation for the company’s future growth,” emphasises Ainārs Spriņģis, Chairman of the Management Board of AS Grenardi Group.
“The broad interest in Grenardi Group’s subordinated bonds from both existing and new investors reflects confidence in the company and its development strategy. This has been achieved through the company’s long-term and consistent approach to strengthening its capital market reputation and developing investor relations,” says Kristiāna Janvare, Head of Investment Banking at AS Signet Bank.
The primary purpose of the issue is to partially refinance the existing first tranche senior secured bonds through the bond exchange offer, as well as to refinance the existing subordinated bonds (ISIN LV0000870103).
As demand for the bonds significantly exceeded the issue size, the allocation of bonds was carried out in accordance with the principles set out in the Information Document:
1) In recognition of the long-term relationship and confidence of existing investors, participants in the bond exchange offer were granted full allocation in accordance with their submitted exchange orders. In total, bonds amounting to EUR 4.8 million were allocated to existing investors.
2) The remaining bond volume of EUR 2.2 million was allocated to new investors, supporting broader participation in the offering and further expanding the investor base.
Settlement of the bonds will take place on 28 May 2026, which is also the issue date of the new bonds. Bondholders will receive monthly coupon (interest) payments based on a fixed annual interest rate of 10%, with the first coupon payment scheduled for 30 June 2026. Coupon payments will be made on the last calendar day of each month throughout the term of the bonds.
As previously announced, AS Grenardi Group plans to carry out the early redemption of the existing secured bonds (ISIN: LV0000860179) on 1 June 2026 for those secured bondholders who did not participate in the bond exchange offer. Following the bond exchange, the remaining amount of the existing secured bonds (ISIN: LV0000860179) will be EUR 7,184,000 as of 28 May 2026.
AS Grenardi Group intends to apply for the listing of the bonds on the Nasdaq Baltic First North market within three months following the issue date.
Signet Bank is the arranger of the bond issue, while Eversheds Sutherland Bitāns is the legal adviser.
