February 1, 2016 - Assignment

Bong acquires receivables from its creditor banks

Bong AB (publ) has acquired receivables from its creditor banks. Among other things, the implementation of the transaction involved issuing senior covered bonds for a total SEK 200 million, an offset issue of shares to the banks to cover part of the outstanding receivables, the conversion of the company's outstanding convertible securities into shares, a new share issue directed to the banks and holders of convertible securities and the issuance of warrants to bond investors.

Bong is a leading European provider of specialised packaging and envelopes that offers solutions for the distribution and packaging of information, advertising offerings and lightweight goods. The Group has annual sales of approximately SEK 2.3 billion and approximately 1,700 employees in 16 countries. Bong is a publicly listed company and its shares are listed on the Nasdaq Stockholm exchange (Small Cap).

The implementation of the transaction has resulted in an increase in Bong's equity and the reduction of interest-bearing liabilities by around SEK 500 million, as well as a reduction in interest expenses by some SEK 10 million annually due to the decrease in debt.

Bong was advised by Mannheimer Swartling in the transaction. The firm's team consisted primarily of Zoran Stambolovski, André Andersson, Rasmus Fahlén and Carl Johan Jennekvist with regard to financing matters, Hans Petersson, Madeleine Rydberger, Emma Sandberg Thomsen, Lisa Fennhagen, Gustaf Hygrell, Nils Nostell, Johan Berg, Joakim Skarph, Victor Sellin Karlsson, Klara Holm and Andreas Wejdrup Petersson with regard to stock market and prospectus matters, and Sven-Åke Bergkvist, Anders Erasmie and Carl Beyer with regard to tax matters. Christina Griebeler and Malte Woock were responsible for matters involving German law.