Questions and Answers regarding Solar8 Energy Bond Issue
What is a bond issue?
Why has Solar8 Energy AG chosen a bond issue as a way of financing?
What rights does a bond subscriber have?
Is there a Rating for the Solar8 BOND?
How can I acquire Solar8 Bonds?
What is a bond issue?
- Bond issue is a collective term for securities with set interest.
- By issuing bonds (Emission) companies and also countries can make money for themselves on the capital market.
- The bond subscriber/creditor thus provides the company with borrowed capital.
- A document determines interest rates and interest payments, duration and nominal amounts.
- Bond issues are also known as bonds and debenture bonds.
Why has Solar8 Energy AG chosen a bond issue as a way of financing?
- The intention is to define additional methods of financing in order to make a flexible appearance onto the market and therefore to secure the growth of the company.
- Alongside equity and bank financing, a bond issue presents the ideal addition to the sustainable and independent financing of the company.
- For us, the bond issue is an additional opportunity to invest in growth (for the current business operation we do not require additional funds), above all for new projects and for the development of further markets and regions.
- With this financing solution, we are preserving our independence.
What rights does a bond subscriber have?
- The subscriber/creditor has a guaranteed right to interest payments at the rate of the interest warrant in accordance with the bond conditions and also to repayment of the nominal bond amount (generally 100%) following the end of the duration, no matter what the development status of the company’s profits.
- Furthermore, bond subscribers have the right to repayment, whereas shareholders have no right to repayment of their share of the equity of the business. As opposed to shares, the investor in bonds, however, has no voting, partnership or other company member rights.
Is there a Rating for the Solar8 BOND?
- Yes. There is an external rating from the company Creditreform AG (recognised by BaFin as the best German ratings agency) with a result of „BB“.
- BB sits just below Investment Grade (the assessment which enables large institutional investors to invest based on their regulations).
- (according to Creditreform, BB rated companies have sufficient, future-proof structures)
How can I acquire Solar8 Bonds?
- Investors can acquire Solar8 bonds directly from the Düsseldorf Stock Exchange.