August 21 (SeeNews) - Bulgarian sugar producer Zaharni Zavodi [BUL:3Z9] said on Tuesday that it has successfully placed convertible seven-year bonds worth 18.8 million levs ($11.0 million/9.6 million euro).
Zaharni Zavodi issued 188,288 bonds with a nominal value of 100 levs each, the company said in a bourse filing.
The company offered a total of 200,000 bonds for subscription. The minimum success threshold was 160,000 subscribed bonds. The subscription closed on Monday.
The bonds carry an annual coupon of 3% with coupon payments due semi-annually.
The company's expenses in relation to the bond issue totalled 7,870 levs.
In its prospectus, Zaharni Zavodi said it intends to use the proceeds from the bond issue to repay outstanding debt. The company said at the time that if it places all 200,000 bonds it will repay 17.1 million levs of debt owed to BST-Bulgaria, 1.4 million levs to Ritam-4-TB and 758,800 levs to GU - Faradei.
GU - Faradei owns a 25.58% stake in Zaharni Zavodi, while Ritam-4-TB holds 25.55%. GU - Faradei is also a shareholder in BST-Bulgaria.
Zaharni Zavodi operates several production facilities – a sugar refinery, a confectionery plant and an ethyl alcohol distillery.
(1 euro = 1.95583 levs)