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  • Insider information: Wetteri’s financing agreement has been renewed, Elo Mutual Employment Insurance Company as a new financier

Insider information: Wetteri’s financing agreement has been renewed, Elo Mutual Employment Insurance Company as a new financier

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Wetteri Plc Insider information 24 April 2024 at 21.15 EET

On 14 February 2024, Wetteri Plc announced that the covenants included in the financing agreement between the Themis Holding Oy subgroup, which is part of the Wetteri Group, and the financing bank had not been fully met.

Wetteri has today received a notice from the financing bank that the bank will not exercise its right to demand immediate repayment of its receivables although the covenants were not fully met on 31 December 2023. Wetteri has also agreed with the financing bank to update the covenant terms of the financing agreement.

In the updated financing agreement, an amendment to covenant terms has been agreed as follows: The 12-month EBITDA divided by interest-bearing net liabilities of the Themis Holding Oy subgroup must be no more than 4.60x on 30 June 2024 and no more than 4.20x on 31 December 2024, the equity ratio must be at least 25% on 30 June 2024 and at least 26% on 31 December 2024, and the equity ratio of the Wetteri Plc Group must be at least 19% on 30 June 2024 and at least 19.5% on 31 December 2024. In addition, Elo Mutual Pension Insurance Company will replace the previous pension insurance company as a financier in the financing agreement.

As the notice was received and the amendment to the terms of the financing agreement was made after the financial year that ended on 31 December 2023, the long-term portion (EUR 14.7 million) of funding under the financing agreement will be accounted for as a current liability in accordance with IAS 1.74 in the financial statements for the financial year that ended on 31 December 2023. In the 2022 financial statements, the long-term portion (EUR 9.8 million) of the funding under the financing agreement was also treated as a current liability.

Further information:

Aarne Simula, CEO and President, Wetteri Plc

Tel. +358 400 689 613, aarne.simula@wetteri.fi

Wetteri Plc – an entrepreneur-driven growth company in the automotive sector

Wetteri Plc is an entrepreneur-driven growth company in the automotive sector. The company engages in the retail sales of passenger cars, commercial vehicles and heavy vehicles, and produces maintenance and repair shop services for vehicles, from passenger cars to heavy vehicles. Headquartered in Oulu, the company has 49 locations in Finland. The company employs nearly 1,000 people, of whom around 70% work in maintenance and repair services. Wetteri promotes digitalisation in the automotive sector and is an important player on the common journey towards emission-free motoring. More information: sijoittajat.wetteri.fi/en/

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