December 1, 2016 - Assignment

Com Hem issues SEK 2¼ billion bond

On Friday 25 November 2016, NorCell Sweden Holding 3 AB (publ) successfully issued SEK 2,250,000,000 senior unsecured notes carrying a fixed rate coupon of 3.5 per cent. due 2022. The net proceeds of the issue were used to redeem the issuer’s 2014/2019 senior unsecured notes. An application for a listing of the new notes on Nasdaq Stockholm will be made.

Com Hem have been active in the bond market this year with their previous issuance of SEK 1,750,000,000 senior unsecured notes due 2021 successfully settling in June. This transaction has been particularly successful given that after completion of the refinancing the average blended interest rate of the group’s debt portfolio is expected to decrease from approximately 3 % in the first nine months of 2016 to approximately 2.5 %, given current market interest rates.

Com Hem offers broadband, TV, play and telephony services to Swedish households and companies. The company was founded in 1983 and has approximately 1,200 employees. Com Hem is headquartered in Stockholm and its shares and existing notes are listed on Nasdaq Stockholm. In 2015, Group sales totaled SEK 5,000 million.

DNB Markets and Nordea Markets acted as Joint Bookrunners in relation to the new issue with Swedbank AB and Danske Bank A/S, Danmark, Filial Sverige being mandated as Co-Lead Managers. Nordea is also acted as issuing agent.

Nordea appointed Mannheimer Swartling as counsel for the joint bookrunners and the issuing agent.