DDM completes a landmark transaction in Slovenia and issues new bond of EUR 11 million

DDM Holding AG (First North: DDM), a specialist investor in and manager of non-performing loans and distressed assets, announces the acquisition of a portfolio of non-performing banking claims originated by one of the banking and financial groups in South-Eastern Europe with its business operations also in Slovenia.

The total investment amounts to approximately EUR 17 million. The gross collection value amounts to over EUR 94 million. The Estimated Remaining Gross Collections (”ERC”) amount to over EUR 34 million in 120 months, adding to DDM’s EUR 70.9 million ERC as reported per the end of the first quarter 2016.

The transaction is funded by a combination of the recently raised equity of approx. EUR 7 million and new debt of approx. EUR 11 million. The new bond at 13% interest matures in 12 months and will be repaid during the period.

Gustav Hultgren, CEO of DDM, said: “This is a landmark transaction for DDM as this is the largest portfolio acquired by DDM where we retain 100% of the economic upside. We are also pleased to continue our investments into Slovenian portfolios and with this large acquisition we have established a solid foothold on the important Slovenian market. We have gained a strong reputation with the sellers and have built a strong network of local partners and experts who have solid experience and track records. DDM continues to see a growing pipeline of prospective investment opportunities and is looking to further increase its exposure in Slovenia as well as other CEE markets.

We are also pleased to have successfully issued our first Euro denominated bond which matches the currency denomination of the assets in Slovenia.”

Carnegie Investment Bank acted as financial advisor in conjunction with the bond issue.

This information is information which DDM Holding AG is obliged to make public pursuant to the EU Market Abuse Regulation. The information was submitted for publication, through the agency of the contact person set out below, at 08:00 a.m. CET on 20 July 2016. 

For more information, please visit DDM’s website at www.ddm-group.ch or contact:

Anders Antonsson, Investor Relations
Mail: investor@ddm-group.ch | Tel: 46 8 4080 9030

DDM Holding AG (Nasdaq First North Stockholm: DDM) is a key acquirer and manager of distressed assets. Since 2007, the DDM Group has built a successful platform in Eastern Europe, currently managing 2.3 million receivables with a nominal value of over EUR 2 billion. DDM Treasury Sweden AB (publ) (NGM: DDM1) is a subsidiary wholly owned by DDM Holding AG. Pareto Securities is DDM Holding AG’s Certified Adviser.


About Us

DDM Holding AG (First North: DDM) is a multinational investor in and manager of distressed assets, offering the prospect of attractive returns from the expanding Southern, Central and Eastern Europe market. Since 2007, the DDM Group has built a successful platform in Southern, Central and Eastern Europe, and has acquired 2.3 million receivables with a nominal value of over EUR 3.5 billion. For sellers (banks and financial institutions), management of portfolios of distressed assets is a sensitive issue as it concerns the relationship with their customers. For these sellers, it is therefore critical that the acquirer handles the underlying individual debtors professionally, ethically and with respect. DDM has longstanding relations with sellers of distressed assets, based on trust and the Company’s status as a credible acquirer. The banking sector in Southern, Central and Eastern Europe is subject to increasingly stricter capital ratio requirements resulting in distressed assets being more expensive for banks to keep on their balance sheets. As a result, banks are increasingly looking to divest portfolios of distressed and other non-core assets. DDM Holding AG, the Parent Company, is a company incorporated and domiciled in Baar, Switzerland and listed on Nasdaq First North in Stockholm, Sweden, since August 2014.