On May 10, 2022, the Latvian Financial and Capital Market Commission approved the basic prospectus of BluOr Bank AS unsecured subordinated bonds programme. The total amount of the bank’s subordinated bonds programme at face value is up to EUR 15 million.

BluOr Bank commences the initial public offering of unsecured subordinated bonds of the first tranche to investors in Latvia, Estonia and Lithuania. The offering period will last from May 16, 2022 – 10:00 AM to May 27, 2022 – 15:30 PM. BluOr Bank plans to issue the first tranche of 7-year unsecured subordinated bonds worth up to EUR 7 million.

The nominal value of each bond is EUR 1,000 and the interest rate is 7% per annum. The bonds will mature in 7 years. Interest payments on bonds will be made once every three months.

The bonds will be publicly offered to investors in Latvia, Estonia and Lithuania. Also, institutional and private investors from individually selected member states of the European Economic Area will be able to participate in the offering in accordance with the Base Prospectus. The bonds are planned to be listed on the Baltic Bond List of NASDAQ Riga. Immediately after the start of trading on Nasdaq Riga subordinated bonds will be free to buy and sell on the regulated market.

The funds obtained from the bond issue will be used to strengthen the bank’s capital, which, in turn, will allow for more successful development of the bank’s services – promote lending, attract deposits and strengthen market positions, contributing to the growth of the national economy and empowering local businesses.

“BluOr Bank is actively engaged in corporate lending in the Latvian market; therefore, attracting additional financial resources is one of the prerequisites for the bank’s growth, providing us with the opportunity to issue more loans,” notes Dmitry Latishev, BluOr Bank CEO. “The more available funds, the more loans we can issue to entrepreneurs on the most favourable terms, thus significantly expanding lending opportunities, including for small and medium-sized enterprises,”

adds Mr Latishev.

BluOr Bank bonds are a complex financial instrument and are not suitable for all investors. Before investing, all interested persons are invited to carefully read the issue prospectus to learn about the possible risks and rewards.

 

About BluOr Bank

BluOr Bank’s strategic priority is the provision of services to enterprises and their financing.

The bank started its activity more than 20 years ago with servicing clients in the Baltic States, now it provides services in all countries across Europe. BluOr Bank is the sixth largest bank in Latvia and is one of the five systemically important Latvian banks.

BluOr Bank is a local capital bank, whose shareholders are its founders – Latvian entrepreneurs. The bank’s mission is based on long-term partnership and provision of financial services to corporate clients, contributing to the business development and growth of their companies. The bank is purposefully improving its financial services to legal entities, as a result of which the number of domestic clients – legal entities increased by 33% in 2021.

The bank purposefully introduces the latest technologies, focusing on the provision of online services. Since 2021, the bank has been providing remote corporate account opening for both Latvian entrepreneurs and companies registered in the EEA countries, as well as in Switzerland and the United Kingdom. Thus, BluOr Bank is the first bank in Latvia to provide businesses with an opportunity to open a current account with advanced identification options and on such a wide geographical scale.

In order to strengthen its position in the markets of Latvia, Baltic States and other countries, the bank has unified its brand and legal name, and as of March 2022, the bank is operating under its new name BluOr Bank AS (formerly – AS BlueOrange Bank).

 

Disclaimer
The above announcement contains general information and is not a base prospectus for the bond issue. Investors should not make investment decisions based on this announcement. To fully understand the potential risks and rewards associated with the investment in bonds, the information contained in the base prospectus of the bond issue, final terms, summary and the documents accompanying the prospectus shall be read carefully. This announcement is not an offer to sell or an invitation to purchase bonds. Investing in bonds is subject to risks and may not be suitable for all investors.

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