Czech development and investment group Passerinvest has completed a public bond issue through Passerinvest Finance, raising the maximum possible amount of CZK 2.5 billion (€100 million). The issue was initially planned for CZK 1.5 billion (€61 million) but was increased due to strong investor demand.
The bonds carry a fixed interest rate of 6.5% per annum with maturity in 2031. The company plans to use the proceeds primarily to finance new projects and further develop the Brumlovka and Nové Roztyly locations in Prague, as well as to provide intragroup financing for the entire Passerinvest Group.
Several financial institutions participated in the issue, providing services related to preparation and placement of the bonds: Česká spořitelna, Komerční banka, Raiffeisenbank and UniCredit Bank Czech Republic and Slovakia. Legal advisory services were provided by Dentons law firm.
"We greatly value all existing investors who significantly utilised the exchange offer and confirmed their satisfaction with investing in our group," said Jiří Junger, Chief Economist of Passerinvest Group. "New investors showed great interest and thanks to that we ultimately issued the bond in the maximum possible volume."
By the end of 2029, the company plans to invest a total of CZK 21 billion (close to €857 million) in the Brumlovka and Roztyly locations, not only in the construction of new office and residential buildings, but also in the development of retail spaces and systematic cultivation of public space.
