Serbia: Schoenherr advises Elixir Group on successful RSD 4.1bln green bond issuance

Elixir Group issued 341,700 green bonds, each with a nominal value of RSD 12,000, bearing an annual interest rate of 6% and maturing in five years. These bonds will be listed on the Belgrade bourse's Open Market.

This issuance represents a significant milestone as the first securities issued by a domestic private company under the Capital Market Development Strategy framework, developed and implemented by the Ministry of Finance of the Republic of Serbia. Elixir Group plans to use the proceeds from the bond issuance to build a plant in Prahovo, Serbia, for the production of crystalline technical mono ammonium phosphate (TMAP).

In addition, Scope Ratings GmbH (Scope) has assigned a first-time issuer rating of BB/Stable to Elixir Group and a preliminary bond rating of (P) BB+ to the RSD 4.1bn unsecured bond. The rating reflects Elixir's strong position in the production of fertilisers and phosphoric acid, as well as Scope's expectations for gradual improvements in the company's margin profile and credit metrics during the current investment phase.

Founded in 1990, Elixir Group employs 1,800 people. Over 70% of Elixir's production is exported to more than 80 countries across all continents, showcasing its global reach and robust market presence.

The Schoenherr team was led by Luka Lopičić (partner) and Miloš Jokić (associate) and further included Igor Živkovski (partner), Milica Zečević (attorney at law), Marija Grujeska (attorney at law), and Pavle Erić (attorney at law), Isidora Grujičić (associate) and Nađa Gogić (associate).