The bonds, worth over EUR48 million, are traded on the Main Market under the stock ticker AUT26E. It is the second bond issue listed by Autonom on Bucharest Stock Exchange and the largest bond issue of a Romanian entrepreneurial company on the local capital market. The AUT26E issue is part of an offer program through which Autonom can repeatedly issue bonds with a total nominal value of up to EUR 250mn over the next five years.
“The Romanian capital market demonstrates its ability to support the local economy every day, through the success of each issue of bonds or shares. Autonom marks today a premiere for both an issuer and for the Bucharest Stock Exchange, by listing the first Sustanability-Linked Bonds issue. The fact that it is the first of its kind, as well as the largest issue of an entrepreneurial company, demonstrates the ability of investors to support companies’ plans and, moreover, their orientation towards the sustainability component of any business. We are glad that Autonom is opening this path, being an example for other issuers as well,” said Radu Hanga, Bucharest Stock Exchange President.
“Today is a historic day for our company. Throughout the existence of Autonom we have always kept in mind to be connected to the latest trends in the field and beyond. Sustainable development is the need of the present, because at this moment we are all responsible for paying more attention to what we are going to leave to future generations. This bond issue is part of the sustainability strategy developed for the coming years by Autonom, where the environmental component is the most important direction for the company’s actions and decisions. We want to reduce the average carbon emissions of the operational fleet by 25% by 2025 and by 51% by 2030. We want to offer modern mobility solutions and we thank investors for choosing to support us in this long-term project,” said Marius Stefan, Cofounder Autonom.
“Given the latest global proposals to reduce pollution, it is becoming increasingly clear that businesses around the world are in urgent need of optimizing work procedures. Corporate bonds starting today are another step we are taking to improve the way we use natural resources in our company. We aim to streamline mobility through the transition to green fleets and the sustainable development of Autonom. We thank the investors for joining us in this process of transforming Autonom into a promoter of sustainability in Romania and the partners who made it possible to carry out this ambitious project,” said Dan Stefan, Cofounder Autonom.
In November 2021, the company successfully closed the private placement for the first tranche of the offer program by attracting more than EUR 48mn from institutional investors, such as international financial institutions, open-end investment funds, banks, insurance companies. The European Bank for Reconstruction and Development (EBRD) is a key partner in this project, being one of the main investors by subscribing EUR 10mn.
“Autonom’s SLB is a milestone for Romania as the first instrument of this type issued locally. By launching this Program which underpins Autonom’s ambitious sustainability strategy, the company signals its commitment to significantly reducing its carbon footprint which is consistent with decarbonisation objectives of EU countries. We now hope to see such Sustainability Linked Bonds continue to successfully be listed in Romania, building on the recent positive experience of Autonom. We are confident that issuers that choose this route will benefit from increasing investors’ appetite for ESG assets, while benefiting from the degree of innovation and flexibility Sustainability Linked Bonds offer,” said Mark Davis, EBRD.
The company sold in a private placement a number of 4,803 non-convertible and unsecured bonds, with a nominal value of EUR 10,000 and the maturity date on November 23, 2026. The interest rate is fixed, 4.11% p.a., adjustable according to the mechanism of step up by 0.30 percentage points per year in case of non-fulfilment of the sustainability performance objectives detailed in the Prospectus. The private placement and listing of the bonds were carried out with the support of BRD as the Program Coordinator and BT Capital Partners as the distribution group. RTPR law firm was the legal consultant for the transaction and EY Romania the financial auditor of the issuer.
“Autonom’s pioneering project was a challenge for the BRD team, being the first corporate bond issue program approved by FSA and the first bond issue related to sustainability goals launched by a Romanian company. We found in Autonom a remarkable, flexible and dynamic team, which once again managed to attract the attention of the main investors on the local capital market, attracting the largest bond financing, made by a private entrepreneurial company, respectively EUR 48mn. We are confident that this is only a first step and Autonom will continue its expansion plans in a transparent, sustainable and profitable manner,” said Irina Neacsu, Executive Director BRD Groupe Société Générale.
“We are proud to have partnered with Autonom Services for the second time in a row, who yet again delivered a premiere on the Romanian capital market – the first sustainability-linked bond issued by the entrepreneurial company. The success of this offer, significant for the Romanian capital market, placed in a challenging local and global context, is the confirmation of the innovative vision that Autonom has for the local mobility segment,” said Daniela Secara, BT Capital Partners CEO.
“The need for confidence and security in financial reporting in our capital markets has never been greater, and auditors play an important role in this. EY Romania, as auditor of the financial statements of the company, assisted and collaborated closely with the management team of Autonom, to prepare this new stage in the development of the company – issuing new bonds on the capital market in a very challenging environment, dominated by the pandemic. Successful companies are the ones that plan their strategy in advance for the period that will follow the current context,” said Mihaela Sandu, Partner EY Romania and Moldova.
In December 2019, Autonom Services listed its first corporate bond issue with a total value of EUR20 million. The bonds are traded on BVB’s Main Market under the stock ticker AUT24E.
“The listing of Autonom’s bond issue takes place one year after the launch by the Bucharest Stock Exchange and Sustainalytics of the first ESG project on the local capital market. We are glad that our efforts in this regard are giving results. We have currently listed green bonds on Bucharest Stock Exchange, and now the first issue of bonds related to sustainability objectives. In the future, as we have done so far, we will support the efforts of issuers to integrate ESG criteria into their business flows, for the benefit of investors, end consumers and the environment,” said Adrian Tanase, Bucharest Stock Exchange CEO.
Founded in 2006 in Piatra Neamt by the entrepreneurs Marius and Dan Stefan, Autonom is an integrated provider of mobility and financing solutions. Autonom operates a unique network of 46 agencies based in over 30 cities in Romania, Hungary and Serbia. The group offers a diverse portfolio of services for both corporate and individual customers, including short and medium-term car rentals, operating leasing, driver transfer services, temporary fleet rental, fleet management, roadside assistance, car wash and equipment rental. In all divisions, Autonom has over 500 employees and operates a fleet of over 9,000 cars.