Sep 19, 2013. /Lesprom Network/. Ahlstrom issues a Euro 100 million hybrid bond. The coupon rate of the bond is 7.875% per annum. The bond has no maturity but the company may exercise an early redemption option after four years. The settlement date of the bond is October 2, 2013, as the company said in the press release received by Lesprom Network. 

The hybrid bond was about three times oversubscribed and was allocated to almost 80 investors.Due to high demand from investors, the size of the issue was increased to Euro100 million from the originally targeted Euro 80 million.

A hybrid bond is an instrument which is subordinated to the company's other debt obligations and which is treated as equity in the IFRS financial statements. The hybrid bond does not confer to its holders the rights of a shareholder or the right to vote at shareholders' meetings and does not dilute the holdings of the current shareholders.

Nordea Markets is acting as the coordinator, a joint lead manager and and a bookrunner and Pohjola Markets as a joint lead manager and a bookrunner in the transaction. Hannes Snellman Attorneys Ltd acts as a legal advisor to Ahlstrom.

Ahlstrom is a global high performance fiber-based materials company.