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Financing structure

The Group’s interest-bearing liabilities decreased to EUR 210.0 million during the third quarter of 2020. Net interest-bearing debt decreased to EUR 181.5 million and gearing was 163.0% (9/2019: 173.7%). The Group’s equity ratio at the end of the third quarter was 29.0% (9/2019: 28.3%). Net financial expenses totaled EUR -3.3 (-2.0) million in January–September. The adjustment of EUR 1.4 million related to Telko’s taxation from 2015 increased financial income during the comparative period. The average interest rate of interest-bearing liabilities, excluding lease liabilities, was 1.6% (1.6%).

The Group’s liquidity position is strong. Cash and cash equivalents were EUR 28.5 million at the end of the third quarter of 2020. Committed revolving credit facilities, totaling EUR 55.0 million, were fully unused, as in comparative periods. EUR 17 million of Aspo’s EUR 80 million commercial paper program was in use (9/2019: EUR 19 million).

On October 1, 2020, the Board of Directors decided to pay the second distribution of the dividend, EUR 0.11 per share, in accordance with the decision of the Annual Shareholders’ Meeting. Following the payment of the second distribution of the dividend, Aspo has distributed a total of EUR 0.22 per share, or EUR 6.9 million, in dividends in 2020.

Bonds


In April, Aspo issued a new hybrid bond of EUR 20 million. The coupon rate of the new bond is 8.75% per annum. The bond has no maturity, but the company is entitled to redeem it in May 2022 at the earliest. At the same time, Aspo repurchased part of its former hybrid bond of EUR 25 million at EUR 18.4 million in accordance with the tender offer regarding the bond. The repurchase was conditional on the issuance of a new hybrid bond. The unpurchased part of the former hybrid bond of EUR 6.6 million was repaid on May 27, 2020.

In September 2019, Aspo Plc participated in a EUR 40 million group bond guaranteed by Garantia Insurance Company with a loan unit of EUR 15 million. The loan has a maturity of five years and a fixed annual coupon rate of 0.75%. In addition to the coupon rate, Aspo will pay an annual guarantee provision to Garantia. The proceeds from the loan unit will be used to cover the Group’s general financing needs.

In September 2015, Aspo issued a senior unsecured private placement bond of EUR 11 million. The fixed rate bond has a maturity of seven years and it matures on September 29, 2022. The bond lengthened the average maturity of Aspo's debt portfolio. The proceeds from the issue were used for general corporate purposes.


Updated: 29.10.2020

Equity ratio and gearing

Maturity of loan agreements

Interest bearing liabilities without lease liabilities on September 30, 2020: 190 M€