DGAP-News: Mogo Finance S.A.
/ Key word(s): Forecast/Bond
Mogo Finance year-end update 2020 and outlook for FY 2021
Continuing stronger performance and on track towards greater financial flexibility
Preliminary discussions with leading investment banks on strengthening the capital structure as well as with investors and advisors on refinancing the Latvian subsidiary's bonds due in March 2021 and the Eurobonds maturing in July 2022 underline the recognition of the achievements.
Furthermore, Mogo Finance impressed by proving its compliance with the terms and conditions at all times, even following the temporary waiver of the financial covenants to ensure security for investors and growth and profitability for the Group in the changed economic environment of the COVID crisis. As a result, almost 40% of investors signaled their support for, among other things, the inclusion of a gradual reversal of the covenants to the original values in the bond terms and conditions to facilitate greater financial flexibility at a bondholders' meeting announced in fall.
As a result of portfolio optimization with a consistent focus on the most profitable and highest ROI markets, Mogo Finance expects revenues of EUR 90 to 95 million (FY 2019: EUR 77 million) and EBITDA of EUR 37 to 40 (FY 2019: EUR 32 million) million for the ended financial year 2020. With the new strategic orientation, the multi-channel fintech approach, while successful and sustainable in the long term, it is expected to develop further and lead to revenues of EUR 160 to 170 million and EBITDA of EUR 60 to 65 million in 2021.
Mogo Finance will be reporting its unaudited financial year 2020 results Mid-February 2021. Details on the convening of the bondholders' meeting will be announced shortly.
This announcement does not constitute an offer of securities for sale in the United States. The bonds have not been and will not be registered under the Securities Act or under the applicable securities laws of any state of the United States and may not be offered or sold, directly or indirectly, within the United States or to, or for the account or benefit of, U.S. persons except pursuant to an applicable exemption from, or in a transaction not subject to, the registration requirements of the Securities Act.
This announcement does not constitute a prospectus for the purposes of Directive 2003/71/EC, as amended (the "Prospectus Directive") and does not constitute a public offer of securities in any member state of the European Economic Area (the "EEA").
This announcement does not constitute an offer of bonds to the public in the United Kingdom. No prospectus has been or will be approved in the United Kingdom in respect of the bonds. Accordingly, this announcement is not being distributed to, and must not be passed on to, the general public in the United Kingdom. The communication of this announcement as a financial promotion may only be distributed to and is only directed at (i) persons who are outside the United Kingdom or (ii) investment professionals falling within Article 19(5) of the Financial Services and Markets Act 2000 (Financial Promotion) Order 2005 (the "Order") or (iii) high net worth companies, and other persons to whom it may lawfully be communicated, falling within Article 49(2)(a) to (d) of the Order (all such persons in (i), (ii) and (iii) above together being referred to as "Relevant Persons"). Any invitation, offer or agreement to subscribe, purchase or otherwise acquire such securities will be engaged in only with, Relevant Persons. Any person who is not a Relevant Person should not act or rely on this announcement or any of its contents.
PROFESSIONAL INVESTORS ONLY - Manufacturer target market (MIFID II product governance) is eligible counterparties and professional clients only (all distribution channels). No PRIIPs key information document (KID) has been prepared as the bonds do not constitute packaged products and will be offered to eligible counterparties and professional clients only.
06.01.2021 Dissemination of a Corporate News, transmitted by DGAP - a service of EQS Group AG.
|Company:||Mogo Finance S.A.|
|8-10 avenue de la Gare|
|Listed:||Regulated Market in Frankfurt (General Standard)|
|EQS News ID:||1158689|
|End of News||DGAP News Service|