Börsiteade

Pealkiri

Outcome of Subscription to AS LHV Group Subordinated Bonds

Teade

The public offering of AS LHV Group subordinated bonds ended on Friday, 25
September. As the initial issue volume of EUR 25 million was oversubscribed, LHV
Group used its right to increase the issue volume to the maximum permitted
volume of EUR 35 million.

Altogether 3,069 investors participated in the issue, subscribing to
subordinated bonds for a total of EUR 85.3 million. This means that the initial
issue volume was oversubscribed 3.4 times. The subscription period started at
10.00 on 16 September and ended at 16.00 on 25 September.

The Supervisory Board of AS LHV Group decided to allocate the subordinated bonds
based on the following principles:

 1. All subscription orders of the same subscriber were summed up;
 2. All subscriptions up to the threshold of EUR 5,000 were fulfilled;
 3. LHV's previous investors, whose subscriptions exceeded the threshold, were
    allocated 38.50% of the amount exceeding the EUR 5,000 threshold;
 4. LHV's previous customers, whose subscriptions exceeded the threshold, were
    allocated 19.50% of the amount exceeding the EUR 5,000 threshold;
 5. New investors, whose subscriptions exceeded the threshold, were allocated
    9.25% of the amount exceeding the EUR 5,000 threshold;
 6. The number of bonds with decimal places was rounded to the previous whole
    number.

Out of the 3,069 subscribers 55.7% received bonds in the desired volume. 44.3%
of investors were allocated less bonds than they desired.

"Investors showed great interest and trust towards LHV and our ambitions. LHV's
largest bond issue to date, was subscribed to by the most investors to date and
they also wished to invest the highest sum to date. The funds raised help us
strengthen our capital structure and support the growth of our business and
market position. The loan portfolio of LHV is growing swiftly, also we are
finalizing the acquiring of Danske's Estonian corporate and local governments'
credit portfolio. As with previous issues, we wanted to see all subscribers as
our investors, however regarding the allocation of bonds we preferred the
existing securities' owners first and secondly customers of LHV," Madis
Toomsalu, CEO of LHV Group commented.

The offering  was conducted on the basis of the prospectus of subordinated bonds
registered by the Estonian Financial Supervision Authority on 7 September 2020
and the terms and conditions of the subordinated bonds approved by the
Management Board of LHV Group on 3 September 2020.

As a result of the issue LHV Group issued subordinated bonds with a nominal
value of 1,000 euros, an interest rate of 6.0% per annum and a maturity date of
30 September 2030. The bonds will be transferred to the investors' securities
accounts presumably on 30 September 2020, and will be admitted to trading on the
Baltic Bond List of Nasdaq Tallinn Stock Exchange on or about 1 October 2020.

LHV Group is the largest domestic financial group and capital provider in
Estonia. LHV Group's key subsidiaries are LHV Pank and LHV Varahaldus. LHV
employs more than 480 people. LHV's banking services are used by more than
231,000 clients, and pension funds managed by LHV have over 182,000 active
clients. LHV's UK branch offers banking infrastructure to 120 international
financial services companies, via which LHV's payment services reach clients
around the world.



Priit Rum
LHV Head of Communications
Phone: 502 0786
E-mail: [email protected]
(https://www.globenewswire.com/Tracker?data=oh19YEyM3GEnxEW2GdH2pgr5PadX5CPU493f
oFHwMZEvOCouKgKpv9gh7NXJphzkPenpuUuyHBsXkWnmYaHeuQ==)