Investors lend €60 million to CUF

The private healthcare company CUF, which has a string of private hospitals and clinics throughout Portugal, has successfully completed a financing operation bringing in €60 million from 2,750 investors. The demand for the securities outstripped the offer by 12% to €67.3 million.

According to ECO online, the money was raised through a Public Subscription Offer of bonds with a view to diversifying their sources of financing and extending the average maturity of its debt.

With an initial plan to raise €30 million, CUF – SGPS announced that it would double the five-year bond issue in order to raise €60 million from investors.

These bonds, known as CUF SGPS Sustainability Bonds, offer a gross fixed interest rate of 4.75% this year, and will mature on December 11, 2029.

The Public Subscription Offer period started on May 21, 2024, and ended on June 6, 2024, and required a minimum investment of €2,500.

The liquidation date for the bonds was set for June 11, 2024, with Haitong Bank acting as the official receiver bank.

The new bonds will be issued for trading at Euronext on the same date. The increase in the bond issue will enable CUF to raise around €57.8 million net after the issue costs have been deducted.

These costs include around €1.5 million in arranging and granting fees, €587,000 in consultancy, auditing and advertising fees, and €46,000 on regulation fees.