RANDERS, Denmark – A corporate bond offering by Danish Crown attracted strong interest and sold out two hours before closing, according to the company.
The company’s goal was to sell between DKK500 million ($86.9 million) and DKK750 million ($130.3 million) in bonds. The bond holders represent 73 investors distributed across investor types, the company said.
“We knew ahead of time that the interest was there, but that is no guarantee that investors will actually buy the bond,” said Preben Sunke, group chief financial officer. “It is therefore very nice to see such a broad circle of investors showing faith in Danish Crown and being willing to lend our company money.”
Nasdaq OMX in Copenhagen is offering a new trading platform for corporate bonds, and Danish Crown agreed to have its new corporate bond listed on the stock exchange.
“We would like to support the trading platform which Nasdaq OMX is now establishing as it may turn into a huge asset in the long term — not just for Danish Crown, but for a large number of companies in Denmark,” Sunke said. “At the same time, it is also a bonus if the price of borrowing money through the sale of bonds is competitive with the alternatives — and it is.”