Mogo issues bonds in the amount of 30 million euros

Neatkarīgā schedule25.feb 2021

On March 1, 2021, AS “mogo” issued bonds in the amount of EUR 30 million, thus, successfully completing the largest bond issue in recent years by a private company on Nasdaq Riga Stock Exchange.

With an annual coupon rate of 11%, 3-year maturity and minimum subscription amount of EUR 1’000, the bonds were offered to existing Mogo bondholders and other retail and institutional investors from the Baltic region. The public offering consisted of two parts - subscription by new investors and exchange offer to existing bondholders.

Bond issue was comfortably oversubscribed with more than 840 investors participating in the offering.

In the result of bond offering there are bonds` allocation as follows - 71.4% to existing bondholders who decided to continue investment in Mogo and there are 28.6% of new bondholders joining Mogo investors community. In terms of geography, majority with 73.3% are Latvian investor representation, 17.7% Estonian and 0.3% Lithuanian investors, while 8.6% are investors from other Europe countries.

The lead manager for the bonds` issuance was “Signet Bank, AS”.

Daiga Auziņa-Melalksne, the Head of Nasdaq Baltic Exchanges: “It is great to see Mogo successfully achieving its fundraising target using capital markets services provided by Nasdaq Baltic. Mogo offering was the largest public offering by a private company during the last four years in Latvia.”

AS “mogo” is an experienced capital market participant and has been represented on the Baltic Regulated market since 2014. New bonds are planned to be included in the Regulated market - the Baltic Bond List of “Nasdaq Riga” stock exchange by March 31 at latest.

About Mogo:

AS “mogo” is part of international FinTech Group - Mogo Finance. AS “mogo” offers classical finance lease, leaseback and long term rent available in the most convenient way for the customer - online, by phone and at more than 280 affiliated car dealerships. AS “mogo” has more than 13 thousand active customers in Latvia and EUR 26 million portfolio y2020.

Mogo Finance Group, keeping car lending business as predominant, also utilizes consumer lending in selective markets as a strategic capital allocation vehicle to leverage its performance and customer base. Recognizing the niche underserved by conventional lenders, Mogo Finance provides financial inclusion and disruptively changes the used car and alternative financing industry across its countries. Up to date the Company has issued over EUR 650 million secured loans and running a net loan and used car rent portfolio of EUR 202 million. Wide geographical presence and diversified revenue streams grant Mogo with unique scale and pace. Mogo Finance operates a multi-channel fintech approach through its own branch network, more than 2,000 partner locations and a strong online presence. Established in 2012, with headquarters in Riga, Latvia, Mogo Finance operates in 14 countries in Baltics and Europe with a strong focus on GDP-dynamic countries in Central, Eastern and South-Eastern Europe. Operating regions also include the Caucasus and Central Asia as well as Eastern Africa.