Bulgaria's Sever Holding to issue 14 mln euro bond

The ordinary, secured bonds will have a floating annual coupon based on the six-month EURIBOR plus 1.25%, but not less than 3.25% and not more than 5.25%, Sever Holding said in a bourse filing.

Coupon payments will be due semi-annually, whereas principal payments will have a four-year grace period.

The funds raised through the offering will be used to acquire stakes in local companies as well as financial instruments and assets, improve Sever Holding's capital structure and help the restructuring and repayment of the group's liabilities.

Shares in Sever Holding last traded at 3.20 levs on the BaSE market of the Bulgarian Stock Exchange, bourse data show.

(1 euro = 1.95583 levs