Veidekke ASA ("Veidekke") has entered into new loan agreements with DNB and
Nordea which replace the two current bank agreements expiring at the end of
2025. In addition, Veidekke has mandated Nordea to facilitate the preparation of
a sustainability-linked framework, to which the new loan facilities are intended
to be linked.
Veidekke will continue its relationship with DNB as core bank. The new agreement
has a five year tenor, with two one-year extension options at the discretion of
the lender. The agreement has a credit limit of NOK 2.0 billion with annual
renewal and replaces a similar agreement from 2020, which had a NOK 1.75 billion
credit limit.
Veidekke has entered into a new agreement with Nordea for a NOK 1.0 billion
revolving credit facility (RCF). The RCF is available for general corporate
purposes, with a maturity of three (3) years. The RCF has two one-year extension
options at the discretion of the lender. The previous credit facility had a NOK
0.75 billion limit. The RCF will be made sustainability-linked in connection
with the publication of the sustainability-linked framework.
The sustainability-linked framework includes provisions related to Veidekke's
achievement of two goals related to reduction of greenhouse gas emissions and
reduction in injury frequency among Veidekke's employees. Nordea has been
mandated as the Framework Structurer, and the independent external verification
(Second Party Opinion) will be performed by Moody's. The framework is scheduled
for completion in Q2 2025.
As of 30 September 2024, the group had a positive net interest-bearing position
of NOK 2.1 billion. Veidekke currently has an outstanding bond loan (ticker:
VEI10) of approx. NOK 0.2 billion due in Q1 2025. As a result of the
refinancing, this will not be replaced with new bond financing upon redemption.
This information is subject to a disclosure duty pursuant to section 5-12 of the
Securities Trading Act.
For more information, contact:
Jørgen Wiese Porsmyr, CFO, phone +47 90 75 90 58
Veidekk press photos (https://veidekke.fotoware.cloud/fotoweb/archives/5028
-Pressebilder-Veidekke/)
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Veidekke is one of Scandinavia's largest contractors. In addition to undertaking
all types of building and civil engineering assignments, the group also
maintains roads and produces asphalt and aggregates. Veidekke emphasises
stakeholder involvement and local experience. Its annual turnover is
approximately NOK 43 billion, and half of its 8,000 employees own shares in the
company. Veidekke is listed on the Oslo Stock Exchange, and has posted a profit
every year since its inception in 1936.