RAPALA VMC CORPORATION ISSUES EUR 25 MILLION HYBRID BOND


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Rapala VMC Corporation
Stock Exchange Release
May 24, 2017 at 4:30 p.m.

RAPALA VMC CORPORATION ISSUES EUR 25 MILLION HYBRID BOND

Rapala VMC Corporation issues a EUR 25 million hybrid bond. The bond bears a fixed interest rate of 5.375 per cent per annum until May 31, 2019. The hybrid bond has no maturity date but the issuer is entitled to redeem the hybrid bond after 2 years. The issue date of the hybrid bond is May 31, 2017. The hybrid bond issue will strengthen the company's capital structure and financial position.

"We are very pleased with the broad interest from capital markets towards our hybrid bond. Multiple times oversubscribed transaction sends a strong message of investors' confidence in the company's updated strategy. The hybrid bond will strengthen our financial position and provide additional capital of a temporary nature, which is required for strategy implementation." says Jussi Ristimäki, President and CEO of Rapala VMC Corporation.

A hybrid bond is an instrument which is subordinated to the company's other debt obligations and which is treated as equity in the IFRS financial statements. The hybrid bond does not confer to its holders the rights of a shareholder and does not dilute the holdings of the current shareholders.

OP Corporate Bank plc acts as sole lead manager for the transaction. Hannes Snellman Attorneys Ltd acts as legal advisor to Rapala VMC Corporation.

 

RAPALA VMC CORPORATION

Jussi Ristimäki

Chief Executive Officer

 

For further information, please contact:

Jan-Elof Cavander, Senior Vice President - Treasury and Finance, Corporate Planning, IT

Tel.: +358 9 7562 5442

 

Distribution: Nasdaq Helsinki and main media

 

Rapala VMC Corporation ("the Group") is a leading fishing tackle company and the global market leader in fishing lures, treble hooks and fishing related knives and tools. The Group also has a strong global position in other fishing categories and it is one of the leading distributors of outdoor, hunting and winter sport products in the Nordic countries. The Group has the largest distribution network in the industry. The main manufacturing facilities are located in Finland, France, Estonia, Russia, Indonesia and the UK. The Group brand portfolio includes the leading brand in the industry, Rapala, and other global brands like VMC, Sufix, Storm, Blue Fox, Luhr Jensen, Williamson, Dynamite Baits, Mora Ice, StrikeMaster, Marttiini and Peltonen. The Group, with net sales of EUR 261 million in 2016, employs some 2 800 people in 40 countries. Rapala VMC Corporation's share is listed and traded on the Nasdaq Helsinki stock exchange since 1998.

 

Disclaimer

This release is for informational purposes only and is not to be construed as an offer to purchase or sell, or a solicitation of an offer to purchase or sell, with respect to any hybrid bond. The distribution of this release and the related material concerning the issuance of the hybrid bond are prohibited by law in certain countries. The hybrid bond is not being offered to the public either inside or outside of Finland. Persons resident outside of Finland may receive this release and the related hybrid bond documentation only in compliance with applicable exemptions or restrictions. Persons into whose possession this release and the related hybrid bond documentation may come are required to inform themselves about and comply with such restrictions. This release and the related hybrid bond documentation may not be distributed or published in any country or jurisdiction or otherwise if to do so would constitute a violation of the relevant laws of such jurisdiction or would require actions under the laws of a state or jurisdiction other than Finland, including the USA, Canada, Australia, Hong Kong, South Africa, Singapore and Japan. The information contained herein shall not constitute an offer to sell or tender, or a solicitation of an offer to buy or sell the hybrid bond to any persons in any jurisdiction in which such offer, solicitation or sale or tender would be unlawful. Rapala VMC Corporation's representatives assume no legal responsibility for such violations, regardless of whether the parties contemplating investing in the hybrid bond are aware of these restrictions or not. Rapala VMC Corporation's hybrid bond will not be registered under the US Securities Act of 1933, nor under any securities legislation of any state in the United States, and it may not be offered, sold, resold, donated, delivered, distributed, bought or transferred in the United States or to US citizens or on behalf of US citizens, except pursuant to an exemption from the registration requirements of the Securities Act of 1933 and any applicable state law legislation.

Attachments:

http://www.globenewswire.com/NewsRoom/AttachmentNg/292208f6-3250-4596-8c7d-9dd6d149d70a


Attachments

Rapala VMC Corporation Stock Exchange Release May 24, 2017.pdf