“We are drawing your attention to two key items on the agenda of the Extraordinary General Meeting: the proposal to waive preferential subscription rights for a potential share capital increase and a potential bond issuance,” the notice published by the Bucharest Stock Exchange says.
Doing a large bond issuance, up to EUR300 million, might help the developer optimize its financing costs and refinance existing debt with cheaper financing, One officials say.
“We normally prefer bank financing over accessing the bond market because of the currently high rates. However, we expect the rates to ease, and there might come a time in the next two-three years when the bond market might make sense.”
One United Properties posted RON1.5 billion revenue in 2023, an increase of 30% on 2022 and 9% higher net profit, RON443.2 million. Its shares have lost 1.2% this year and gained 14% in the past 12 months, lower than the market average of the period, as shown by the reference index BET.
(English version by Loredana Fratila-Cristescu)