Gondwana issues N$250 million note to change medium term financing structure
Unlisted public company, Gondwana Holdings Ltd has just issued a new Senior Unsecured Floating Rate note to raise N$250 million which will be used to optimise the group’s medium term financing structure.
The placement was oversubscribed 1.9 times showing strong investor demand and confidence in Gondwana’s ability to right their ship post-Covid.
Gondwana operates a bouquet of accommodation establishments across the entire country, with ancillary tourism services under the same umbrella. In 2021 the company sought Development Bank financing to help bridge its revenue gap following the devastating impact of Covid-19.
Gondwana Holdings Chief Executive, Gys Joubert, said “We are thrilled with the success of our auction and grateful for the overwhelming response from investors. We are humbled by the confidence shown in us.”
The Note will be listed on the Namibian Stock Exchange and carries a floating interest rate.
“The MTNP and listed Notes issued is an important step in our strategy and a strategic enabler to optimize our capital structure, and to reduce financing costs. With the restructuring of our balance sheet Gondwana will be positioned to generate growth from future opportunities, while balancing stakeholder expectations,” said Joubert.
