Longo bond issue

About company

Established in 2018, Longo is the fastest growing and the largest used car retailer in Baltics present in Riga, Tallinn, and Vilnius.

In the fragmented Baltic used car market, Longo is the only pan-Baltic used-car retail, more than 2x exceeding the size of its closest competitor in terms of units sold.

The Group is transforming the market, offering the most convenient and safest used car shopping experience end-to-end, both digital and on-site with the largest and widest competitively priced assortment of popular used car models in the Baltics.

The Group has a strong equity base, with Capitalization ratio of 92% (as of 9M 2021), demonstrating strong shareholder support for the Group’s strategy.

Term Sheet

Issuer

AS Longo Group

Sector

Used car retail

Type

Private placement

Security type

Senior secured bonds

Planned issue size

EUR 3 000 000

Coupon rate

Coupon frequency

Monthly

Term

November 2024

Call option

@101% after 1st year,
@100% last 3 months before maturity

Put option

@100% after 2nd year

Nominal value

EUR 1 000

Minimum subscription

EUR 100 000

Use of proceeds

• Working capital investments

Covenants

• Interest coverage ratio of min 2x
• Adjusted Equity ratio of min 30%
• Inventory coverage ratio of min 1.5x

Listing

Planned listing on Nasdaq First North within 12 months from issue date

Arranger

Signet Bank AS

Additional information

Longo presentation

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Longo bond issue

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