April 3 (SeeNews) - Romanian software developer Life is Hard [BSE:LIH] said on Wednesday that it aims to raise around 2 million euro ($2.15 million) from the capital market through a newly launched bond issuance, to fuel its strategic expansion plan.
The funds raised through the bond issuance, which is open from April 2 until April 15, will be used to finance a new strategic acquisition, the company said in a press release, without elaborating.
"The value of this investment is estimated at 2 million euros, and at the general shareholders' meeting scheduled for April 29, 2024, we are requesting shareholders to increase this budget by an additional 1 million euro," said Catalin Chiș, CEO and board chairman at Life is Hard.
In this transaction, Life is Hard is issuing, through a public offering, up to 100,000 four-year bonds with a nominal value of 100 lei ($21.7/20.1 euro) each. The bonds have an annual interest rate of 10%, payable quarterly.
Life is Hard was established in 2004 in the northwestern county of Cluj and is listed on the AeRO market of the Bucharest Stock Exchange. The company's net profit rose 38.3% on the year to 6.4 million lei in 2023.
Life is Hard's shares traded 1.93% higher at 2.64 lei as at 1424 CET on Wednesday on the Bucharest bourse.
($=0.927895 euro)