Benchmark completes new £64m senior green bond issue

Aquaculture biotechnology company Benchmark has successfully completed a new senior unsecured green bond issue of NOK 750m (£64m), it announced on Friday, with expected maturity on 27 September 2025.

The AIM-traded firm said the bond had a coupon of three months NIBOR-plus-6.5% per annum, with quarterly interest payments.

It said the settlement date was expected to be 27 September, adding that an application would be made for the bonds to be listed on the Nordic ABM, the open market of the Frankfurt Stock Exchange, the International Stock Exchange in Guernsey, or the Cayman Islands Stock Exchange, before the first interest payment date.

They would also be listed on the Oslo Stock Exchange or another regulated exchange within six months.

The company said the net proceeds from the bond issue would be used to refinance Benchmark's outstanding senior secured bonds with the ticker ‘BHMH01’, which mature in June 2023, and to finance green projects as it described in its green bond framework.

Concurrently with the new bond issue, Benchmark said it would repurchase NOK 583m of the outstanding bond issue ‘BHMH01’ at a price of 102.25% of par, adding that the remainder would be called at a price of 101.69% of par through a separate call notice.

“We are pleased to have completed this new green bond issue, which enables us to refinance our main existing debt and allows the group to focus on commercial execution of its growth strategy, while also demonstrating our sustainability commitment,” said chief executive officer Trond Williksen.

At 1345 BST, shares in Benchmark Holdings were up 5% at 40.95p.

Reporting by Josh White at Sharecast.com.