Crestyl issues 2.2 billion bonds to finance the Savarin project in Prague

by   CIJ News iDesk III
2021-01-14   11:26

The Crestyl development and investment group and its subsidiary Savarin p.l.c., is issuing a five-year zero-coupon bonds this week with a total nominal value of CZK 2.2 billion, with the possibility of increasing to CZK 3.3 billion. The purpose of the issue is to finance the Savarin project, which is being developed under the baton of icon, contemporary world architecture and design by Thomas Heatherwick and his studio in the vicinity of Prague's Wenceslas Square and Na Příkopě Street. The multi-purpose complex also includes space for the location of the Slavic epic Alfons Mucha. The issue was prepared by J&T Banka and the bonds are also traded on the regulated market of the Prague Stock Exchange.

"As part of the preparation of our unique Savarin project, we decided to increase our stake in the project and buy out the initial investors who helped us get started. In the meantime, the whole project acquired real contours, a new look and moved on to the next phase. We have prepared a place in it for the placement of the Slavic Epic, which we are really proud of and appreciate this opportunity. In the coming months, we plan to begin the reconstruction of the historic palace, "says Omar Koleilat, CEO of the Crestyl Group. "By issuing public bonds, we are now giving everyone the opportunity to directly contribute to the proceeds of this project."

The bonds are also intended for small, non-professional investors. The nominal value of the bonds is CZK 50,000, their issue price is 71.288% of the nominal value as of the issue date, maturing in January 2026. The annual yield thus corresponds to 6.9%.