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Municipality Finance issues EUR 50 million notes and a EUR 500 million tap to a benchmark under its MTN programme

Kuntarahoitus Oyj
·4-min read

Municipality Finance Plc
Stock exchange release
18 November 2020 at 9:00 am (EET)

Municipality Finance issues EUR 50 million notes and a EUR 500 million tap to a benchmark under its MTN programme

On 19 November 2020 Municipality Finance Plc issues notes and tap to a benchmark. The notes are issued under MuniFin’s EUR 40 billion programme for the issuance of debt instruments. The offering circular and the supplemental offering circular are available in English on the company's website at https://www.munifin.fi/investor-relations/.

EUR 50 million notes


MuniFin issues EUR 50 million notes. The maturity date of the notes is 19 November 2060. MuniFin has the right but no obligation to redeem the notes early on 19 November 2021 and every three years thereafter. The notes bear interest at fixed rate of 1.155% per annum.

MuniFin has applied for the notes to be admitted to trading on the Helsinki Stock Exchange maintained by Nasdaq Helsinki. The public trading is expected to commence on 19 November 2020.

Natwest Markets plc acts as the Dealer for the issue of the notes.

EUR 500 million tap to an existing benchmark


MuniFin issues a new tranche in an amount of EUR 500 million to an existing benchmark issued on 22 April 2020. With the new tranche, the aggregate notional amount of the benchmark is EUR 1,650 million. The maturity date of the benchmark is 22 April 2025 and it bears interest at fixed rate of 0.00 % per annum.

MuniFin has applied for the new tranche to be admitted to trading on the Helsinki Stock Exchange maintained by Nasdaq Helsinki. The public trading is expected to commence on 19 November 2020. The existing notes in the series are admitted to trading on the Helsinki Stock Exchange.

Goldman Sachs International, Société Générale and Nordea Bank Abp act as the Lead Managers for the new tranche.

MUNICIPALITY FINANCE PLC


Further information:

Joakim Holmström
Executive Vice President, Capital Markets
tel. +358 9 6803 5674

MuniFin (Municipality Finance Plc) is one of Finland's largest credit institutions: the company's balance sheet totals nearly EUR 41 billion. The company is owned by Finnish municipalities, the public sector pension fund Keva and the Republic of Finland.

MuniFin's mission is to build a better future in line with the principles of responsibility and in cooperation with its customers. MuniFin's customers are Finnish municipalities, municipal federations, municipally controlled entities and non-profit housing organisations. Lending is used for environmentally and socially responsible investment targets such as public transportation, sustainable buildings, hospitals and healthcare centres, schools and day care centres, and homes for people with special needs.

MuniFin's customers are domestic but the company operates in a completely global business environment. It is the most active Finnish bond issuer in international capital markets and the first Finnish green bond issuer. The funding is exclusively guaranteed by the Municipal Guarantee Board.

The Municipality Finance Group also includes the subsidiary company, Financial Advisory Services Inspira Ltd.

Read more: www.munifin.fi

Important Information

The information contained herein is not for release, publication or distribution, in whole or in part, directly or indirectly, in or into any such country or jurisdiction or otherwise in such circumstances in which the release, publication or distribution would be unlawful. The information contained herein does not constitute an offer to sell or the solicitation of an offer to buy, nor shall there be any sale of, any securities or other financial instruments in any jurisdiction in which such offer, solicitation or sale would be unlawful prior to registration, exemption from registration or qualification under the securities laws of any such jurisdiction.

This communication does not constitute an offer of securities for sale in the United States. The notes have not been and will not be registered under the U.S. Securities Act of 1933, as amended (the "Securities Act") or under the applicable securities laws of any state of the United States and may not be offered or sold, directly or indirectly, within the United States or to, or for the account or benefit of, U.S. persons except pursuant to an applicable exemption from, or in a transaction not subject to, the registration requirements of the Securities Act.