EUR100m increase of Eesti Energia notes due 2018

Eesti Energia (Baa2/BBB+) has today launched and priced an increase of 100 million euros to 4.25% Notes due on 2 October 2018, which brings the eurobond to a total size of 400 million euros. Newly issued notes have been priced at 109.085% to yield 2.181%, which is 112 basis points over the interpolated midswap rate.

This is the lowest yielding eurobond transaction in the group´s history. The net proceeds of the offering will be used for general corporate purposes, including financing the capital expenditure program of Eesti Energia.

The transaction attracted a high quality and strong order book that exceeded 400 million euros with over 40 investors participating. The geographic allocation of the notes was the following - Scandinavia and Baltics 50%, Germany 26%, UK 14%, Austria and Switzerland 5%, Rest of Europe 5%. In terms of investor type, the allocation was the following – Fund Managers 63%, Pension Funds 28%, Banks & Private Banks 7% and Insurance Companies 2%.

Closing and settlement of the offering will be completed on 30 January 2014. The notes will funge after 40 days with the existing 2018 notes listed on the Main Market of the London Stock Exchange.

Deutsche Bank and Nordea Markets were acting as Joint Bookrunners for this transaction.