Cordia issues €105m 10-year bond to finance expansion strategy

Cordia International, the residential development platform of Futureal Group, has successfully managed its second bond issuance on the Budapest Stock Exchange to finance further expansion, predominantly in the CEE region. Hungary’s leading residential developer raised HUF 36bn (approximately €105m) in its latest transaction which was heavily oversubscribed by financial institutions and achieved a 2.46-percent yield. Last November, Cordia successfully placed a HUF 44bn seven-year bond with a 3.82-percent yield. Using the funds collected from the bond issuance in November 2019, Cordia purchased the site of the former Modena garment factory in Poznan, where the company is planning an urban regeneration project. It also has similar plans on a plot in Warsaw. Cordia recently acquired nearly 93 percent of the shares of the Warsaw-listed real estate development company Polnord S.A. and 20 percent of ARGO Properties NV, which is active in the German rental housing market. The company has also bought a coastal development in Spain and a giant plot along the Danube bank in Budapest.