March 9 (SeeNews) - Romanian home and deco online retailer Vivre has raised 3.5 million euro ($3.95 million) through a private bond placement on the Bucharest bourse, the company acting as intermediary and consultant on the placement said.
The funds will be used to finance the company's accelerated development strategy, in particular through investments in marketing tools aimed at expanding its customer base and increasing brand awareness, BT Capital Partners said in a press release on Sunday. Vivre will also make investments in technology and automation.
The bonds, due in 2025, have an interest rate of 5.25% and will be listed on the alternative trading system of the Bucharest Stock Exchange, with plans to start trading in three weeks.
The company offered 30,000 bonds for sale with a face value of 100 euro at an interest between 4.5 and 5.5%. The placement was overwritten, and the issuer decided to supplement the offer, attracting a total 3.5 million euro at a 5.25% interest. A total of 66 investors, both natural persons and institutional investors, took part.
The company will be the first business in the e-commerce sector to list euro-denominated bonds on the Bucharest bourse
Vivre is a Romanian e-commerce and technology startup launched in April 2012 which aggregates furniture, decorations, textiles and accessories from manufacturers all over the world.
In 2019, Vivre Deco recorded a net profit of 3.4 million lei ($799,360/706,700 euro) on revenues of about 200 million lei and an operating profit of 7.1 million lei. The company is present in nine countries in Central and Eastern Europe.
BT Capital Partners is the investment banking company of the Banca Transilvania Financial Group.
($=0.8841 euro)