The bond offer issued by Elefant Online SA, one of the largest online retailers in Romania, was successfully completed, being overwritten by 32 % from baseline. The company thus attracted 7.65 million lei. The "private placement" offer had an initial value of 5.8 million lei, but it was increased due to the high interest from the investors. In the next period, steps will be taken to list the issue of bonds at the Bucharest Stock Exchange.
Elefant Online S.A. (www.elefant.ro) is the second player in Romania in e-commerce by number of customers, registering an accelerated growth of business in the last years. The volume of orders went up 3.5 times between 2014 and 2017, and turnover increased 2.6 times over the same period, as last year only 17% of the population made online shopping.
Subscriptions to Elefant Online Bonds S.A. (www.elefant.ro) could be made exclusively through Tradeville and the offer was available for a limited number of investors (under 150). Due to the high demand, the offer was closed in advance, 4 days earlier than the initial date.
"We are pleased to note a high interest from investors for corporate bonds. The bond offer of Elefant Online SA, traded by Tradeville, benefited from an oversubscription that exceeded by 65% the minimum amount required for the success of the offer. Over-writing reveals investor confidence in this type of financial instrument but also in the issuer's potential. We support the development of local companies using the financing opportunities provided by the capital market, "said Mihaela Bîciu, General Manager, Tradeville.
"Investors' confidence in elefant.ro demonstrates the viability of the ambitious plan we set out on the road 8 years ago: creating and developing an online mall dedicated to the family. Its current evolution will convince more and more investors that in this field, but especially at elefant.ro, there is a huge potential for growth, "said Sergiu Chircă, CEO of Elefant Online S.A. (www.elefant.ro).
The bid was scheduled to take place in September 10-25, but it was closed early on September 21 due to high demand. Elefant Online Obligations S.A. (www.elefant.ro) are issued for a period of three years and offer a coupon rate of 9% per annum (in half-yearly installments). The repayment of the principal will take place at full maturity. The price of a bond was RON 100, equal to the nominal value.