14 May 2018
New Corporate Bond at the Athens Stock Exchange Listing and Admission to Trading of the Coral Corporate Bond

 

The Athens Stock Exchange welcomed today the Coral oil company, in the context of the listing and admission to trading of its Corporate Bond on the ATHEX Regulated Market. A total of 90,000 common bearer bonds of the Company with a nominal value of €1,000 each have been allocated and €90,000,000 have been raised at a 3.00% interest rate.

This is the tenth consecutive corporate bond to be listed on the Athens Stock Exchange, with these companies raising significant amounts of capital at interest rates ranging between 3.10 and 5.5%.

Petros Tzannetakis, Deputy Managing Director of MOTOR OIL, rang the traditional bell during the opening bell ceremony of the Athens Stock Exchange, to be followed by a presentation of Coral by its General Manager, Giorgos Hatzopoulos.

Sokratis Lazaridis, CEO of the Athens Exchange Group, welcomed the Management of the company and the guests of the event, noting that: "Starting in July 2016 until today, a total of ten corporate bonds amounting to €876.5 million have been issued. The fact that we now have a representative sample of issuances by companies in different industries with different activities, as well as a variety in the volumes of the issued securities, solidifies our conviction that the Greek corporate bond market can serve as a useful channel giving businesses access to liquidity.

Moreover, the fact that the overall interest expressed by investors who took part in the Public Offering exceeded by 3.8 times the value of the offered securities shows that there is both liquidity and potential in this market, when companies and underwriters cooperate and present attractive proposals".

During the opening bell ceremony, the Deputy Managing Director of MOTOR OIL, Mr.  Petros Tzannetakis, after thanking everyone who participated in the bond issuance project, stated: "The successful issue of the CORAL S.A. bonds confirms investors' trust in the MOTOR OIL Group, which embarked on its own journey in the Athens Stock Exchange in 2001. The listing and trading of the CORAL bonds on the Stock Market, enhances the Company's already high visibility and marks the consolidation of corporate governance practices in a manner that is assured over time. Essentially, this leads to an objective operation of the largest subsidiary of MOTOR OIL through the Athens Stock Exchange".

The Chairman of the Hellenic Capital Market Commission, Mr. Charalambos Gotsis, on the subject of the corporate bond listing had the following to say: "The Hellenic Capital Market Commission welcomes the listing of the Coral bonds on the Corporate Bonds platform of the Athens Stock Exchange.

The introduction of yet another €90 million bond in the newly founded market shows that our country's healthy businesses have embraced the new institution, which is essentially an alternative to banks capital raising source.

By accepting a 3% interest rate, investors are tangibly demonstrating their trust in the company and are contributing towards improving its competitiveness through the reduction of its financial cost. Along with Coral we will be anticipating other issuances, mainly from small and medium-sized enterprises which encounter difficulties in raising capital.

See the company presentation

Download the το Press Release

 

Highlights of the event		Opening Bell Ceremony
		Company presentatiov Coral Giorgos Hatzopoulos, General Manager

 

Opening Bell Ceremony

 

 

About the issue of the corporate bond

Coordinators and Bookrunners were Alpha Bank and the Investment Bank of Greece, Underwriters of the Public Offering were Eurobank Ergasias S.A. and Piraeus Bank, ΒΕΤΑ SECURITIES S.A., the Investment Bank of Greece, EUROXX Securities, CYCLOS Securities S.A. and Pantelakis Securities SA. Advisor was Alpha Bank.

A total of 90,000 common, bearer bonds of the company with a nominal value of €1,000 each have been allocated and €90,000,000 have been raised.

These are 5-year bonds with a 3.00% interest rate.

Total demand and the number of investors that participated in the Public Offering were €342.14 million and 3,665 respectively, and as a result the Public Offering was oversubscribed 3.8 times.

The Bonds were allocated as follows: a) 45,000 bonds (50% of the total) to Private Investors, satisfying 29.49% of the demand and b) 45,000 bonds (50% of the total) to Institutional Investors satisfying 24.05% of the demand. Also, from the 45,000 Bonds allocated to Institutions Investors, the Underwriters received for their own account 16,937 Bonds.

The process was carried out through the Electronic Book Building service of the Athens Stock Exchange.

More information about the issue can be found on the Athens Stock Exchange website at this link.

 

About Coral

CORAL PETROL AND CHEMICAL PRODUCTS S.A. is the successor of Shell Hellas S.A, which was acquired in 2010 by Motor Oil Hellas.  It has been operating in Greece since 1926 and holds the right of exclusive use of the Shell brands in retail stations across Greece, which it renewed with an agreement signed on 26.03.2014 for a 10-year period (until 31.12.2023). The Issuer also holds the exclusive right to use the Shell brands in Serbia, Montenegro, Albania, FYROM and Cyprus.

The Group's main activities include the distribution and wholesale and retail trade of petrol products, such as gasoline, fuel oil and lubricants, available through its retail stations, as well as the sale of petroleum products to industrial customers and heating oil resellers. Its activities also cover industrial and commercial sectors, marine and chemicals.

The group has a total of 700 retail stations in Greece, 400 of which operate as associates, through an exclusive commercial cooperation contract, and 300 are operated through the ERMIS S.A. (215 retail stations) and MYRTEA S.A. (90 retail stations). Moreover, it also has 32 retail stations abroad (31 in Cyprus and 1 in Serbia).

Turnover in retail (retail stations) represents 48.3% of the consolidated turnover during FY 2017, while the wholesale sector represents 46.4% (Greece, Serbia, FYROM, Bulgaria, Albania).

 

About the Athens Exchange Group

The Athens Stock Exchange, since its establishment in 1876, has been consistently participating in the financial and business developments in the country.

The Athens Exchange Group (ATHEX Group), supports the growth and organisation of the Greek Capital Market. It operates the organized equities and derivatives markets, the alternative market and performs clearing and settlement of transactions.

The Athens Stock Exchange, through its markets, offers solutions and financing tools to businesses, expands investor choice by providing a safe, stable and convenient environment in full alignment with international practices and the European regulatory framework.

In a period when the role of stock markets in exploring alternative ways of financing business, at a European level, is significantly enhanced, the Athens Exchange Group has taken a series of initiatives to highlight the attractiveness of the Greek Capital Market and to promote Greek companies to the international investment community.

The Group's stocks are listed on the Main Market of the Athens Stock Exchange (Symbol: EXAE).

Summary information on the market and the Athens Exchange Group can be found at this link and the website of www.athexgroup.gr.

The profiles of the ATHEX Group and its markets can be downloaded from the link. More information can be found in the website www.athexgroup.gr.