Placement of a bond issue for Gefion Group successfully completed

Issue amount: DKK 185m

Fixed interest rates: 10.00 % and 15.00 %

Maturity: 24 months (with a 6 month extension option)

The bond offering for Gefion Group, through the subsidiary Niels Juels Gade 9-13 Holding Aps, has been successfully completed. JOOL Markets AS acted as Sole Manager and Bookrunner in the bond issue.

The bond offer consists of two tranches both maturing in December 2019, where the DKK 145m senior bond has a 10% p.a. coupon with semi-annual payments. The DKK 40m junior bond, with possible tap issue of up to DKK 62m, has a 15% p.a. coupon and full payment at maturity (“bullet”).

The senior bond is secured through 1st priority pledge over 100% of shares in the Issuer and the Property Company as well as 1st priority over guarantee undertaking from Gefion Group A/S of the amount corresponding to 18 months’ interest on the senior bond. The junior bond has 2nd priority pledge over 100 % of the shares in the Issuer and the Property Company as well as 2nd priority over guarantee undertaking from Gefion Group A/S of the amount corresponding to 18 months´ interest on the senior bond.

The transaction proceeds will be used for property acquisition and transaction fees. The intention is to repay the bonds through proceeds from the sale of completed projects.

Grette law firm acted as legal advisor and Intertrust (Norway) AS as bond trustee in the transaction. The bonds will be registered through Euroclear Sweden (SEK bonds) and VPS Norway (NOK and EUR bonds).