MMD Advokati supported FASHION COMPANY in successful RSD 8.45 Billion Bond Issuance

MMD Advokati is pleased to announce that FASHION COMPANY successfully emitted RSD 8.45 Billion (approx. EUR 72 million) worth corporate bonds, under Capital Market Development Strategy framework, implemented by the Ministry of Finance of the Republic of Serbia and financially supported by the IBRD.

Our law firm contributed to successful FASHION COMPANY’s fund-raising project through Legal Due Diligence performed over the issuer, on behalf of the Ministry of Finance, which served as a foundation for the issuance of prospectus and successful listing on Belgrade stock exchange market.

FASHION COMPANY, the largest retail chain for fashion brands in the region, with 155 retail stores in Serbia, Croatia, Montenegro, Bosnia and Herzegovina, Albania, North Macedonia and Slovenia, has successfully realised the issue of long-term RSD bonds in the total amount of RSD 8.45 billion, with the aim of financing the company’s further development and improving flexibility in capital management.

FASHION COMPANY issued 650 bonds individually worth 13 M RSD, with one-time principal maturity of seven years from the date of issuance and a coupon interest rate that is variable and consists of a three-month Belibor and a fixed margin of one percent per year. Coupon interest on bonds is paid quarterly.

Our team was led by Rastko Mališić (Partner) and further included Veljko Dostanić (Partner), Miodrag Klančnik (Partner), Čedomir Jelesijević (Senior Associate), and Aleksandar Čolović (Associate).