Notice of the public offering of Hepsor AS bonds

Core Viewpoint - Hepsor AS is launching a bond program totaling EUR 20 million, with an initial public offering aiming to raise up to EUR 6 million, potentially increasing to EUR 8 million, targeting retail and institutional investors in Estonia, Latvia, and Lithuania [1][2][3]. Group 1: Bond Offering Details - The bond being offered is an unsecured and unsubordinated bond with a nominal value of EUR 1,000 and an interest rate of 9.50% per annum [2]. - The subscription period for the bond offering is from 12 November 2025 to 21 November 2025, with the first trading day expected on 27 November 2025 [4]. - The proceeds from the bond offering will be used to refinance an existing EUR 6 million loan with AS LHV Pank, and any additional funds will support real estate development projects [3]. Group 2: Financial and Legal Framework - The bonds will be listed on the Baltic Bond List of the Nasdaq Tallinn Stock Exchange, although admission to trading is not guaranteed [7]. - Investors must have a securities account with a Nasdaq CSD SE Estonian branch operator or a financial institution that is a member of Nasdaq Riga or Nasdaq Vilnius to subscribe [5][6]. - The bonds are subject to financial covenants, including maintaining a minimum equity share of 20% in assets and ensuring sufficient liquidity for interest payments [2]. Group 3: Company Background - Hepsor AS is a developer of residential and commercial real estate, operating in Estonia, Latvia, and Canada, with a portfolio of 25 development projects totaling 178,200 square meters [10]. - The company has developed 2,003 homes and nearly 44,787 square meters of commercial space over fourteen years, implementing innovative engineering solutions for energy efficiency [10].