Iceland Seafood International has concluded a private placement of a four-year unsecured bond, with the total placement amounting to ISK 3.4 billion (USD 28.1 million, EUR 23.1 million) at a fixed rate of 5.65 percent.
The Reykjavik, Iceland-headquartered fish supplier confirmed that the bond has semi-annual interest payments, and that the balance will be paid in one instalment on 21 June, 2025. The bond is scheduled to be admitted to trading on Nasdaq Iceland in the coming weeks.
Since the listing of its shares on the Nasdaq main market in 2019, the company has actively used the capital market for supporting both organic and acquisitive growth.
ISI said that an important step was taken with issuance of six-month bills, which started in September 2019.
“This bond issuance is another important step, where the company has secured a long-term unsecured funding which will support Iceland Seafood’s growth plans and positively impact the company’s cost of capital,” ISI said.
The company was advised in the process by Arion Bank.
ISI said the issue marked a milestone for the Icelandic capital market, as it is the first unsecured corporate bond issue in many years. It added that the bank is confident that Iceland Seafood's relationship with the Icelandic capital market will continue to grow stronger and more companies will follow suit, leading to more diverse corporate debt market.
Last month, ISI concluded an offering of six-month bills, with the total offered for bills in the auction amounting to ISK 2.04 billion (USD 16.8 million, EUR 13.9 million), with offers accepted for ISK 1.5 billion (USD 12.4 million, EUR 10.2 million) at a simple rate of 3.55 percent.
Photo courtesy of Iceland Seafood International
