15th Oct 2020 14:37
(Alliance News) - UK financial services firm Just Group PLC on Thursday announced the completion of its GBP250 million green tier two capital issue with proceeds going towards a tender offer.
The net proceeds will be used in part to finance the tender offer targeting GBP75 million of Just Group's outstanding GBP230 million 3.5% subordinated tier three notes due 2025.
The combination of the issue of the bonds and the purchase of GBP75 million of tier three notes will improve the group's solvency two capital coverage ratio, reported at 30 June, by nine percentage points to a pro forma ratio of 154%.
Chief Executive David Richardson said: "Just has always been a market disruptor with a strong social purpose and so we are delighted to launch this Green Bond - the first of its kind in the UK insurance sector.
"We were very pleased by the high level of investor interest which has allowed us to further strengthen our solvency two capital coverage ratio whilst optimising Just's capital structure."
Just Group shares were down 2.1% at 43.90 pence each in London on Thursday afternoon.
By Greg Roxburgh; [email protected]
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