Sponda - Company Announcement

Sponda issues EUR 95 million hybrid bond

Sponda Plc            Stock Exchange Release, 21 November 2012, 2.20 pm



Sponda issues EUR 95 million hybrid bond

PUBLICATION OR DISTRIBUTION, DIRECTLY OR INDIRECTLY, IN OR INTO THE UNITED
STATES, CANADA, AUSTRALIA, HONG KONG, SOUTH AFRICA OR JAPAN OR ANY OTHER
JURISDICTION IN WHICH THE DISTRIBUTION OR RELEASE WOULD BE UNLAWFUL. 

Sponda Plc issues a EUR 95 million domestic hybrid bond. The coupon rate of the
bond is 6.75% per annum. The bond has no maturity but the company may exercise
an early redemption option after five years. The settlement date of the bond is
5 December 2012. "The purpose of the new hybrid bond is to replace the one issued in 2008. The
demand for the hybrid bond from the investors has been extremely high, and it
was oversubscribed. Due to the company's improved balance sheet, our aim is to
reduce the amount of hybrid bond. This means that after June 2013, the amount
of outstanding hybrid bond is EUR 95 million", says Sponda's President and CEO
Kari Inkinen. 

A hybrid bond is an instrument which is subordinated to the company's other
debt obligations and which is treated as equity in the IFRS financial
statements. A hybrid bond does not confer to its holder the right to vote at
shareholder meetings and does not dilute the holdings of the current
shareholders. 

Nordea Markets is acting as exclusive bookrunner in the transaction.

Sponda Plc

Kari Inkinen
President and CEO



Further Information: Kari Inkinen, President and CEO, Tel. No. +358 400 402 653







Distribution:

NASDAQ OMX Helsinki Ltd
Main Media
www.sponda.fi



Sponda Plc is a property investment company specializing in commercial
properties in the largest cities in Finland and Russia. Sponda's business
concept is to own, lease and develop office, retail and logistics properties
into environments that promote the business success of its clients. The fair
value of Sponda's investment properties is approximately EUR 3.2 billion and
the leasable area is around 1.5 million m². 



This release is for informational purposes only and is not to be construed as
an offer to purchase or sell or a solicitation of an offer to purchase or sell
with respect to any hybrid bond. The distribution of this release and the
related material concerning the issuance of the new hybrid bond and the
invitation to tender the outstanding hybrid bond are prohibited by law in
certain countries. The new hybrid bond is not being offered and the tender
offer for the outstanding hybrid bond is not made to the public either inside
or outside of Finland. Persons resident outside of Finland may receive this
release and the related hybrid bond documentation only in compliance with
applicable exemptions or restrictions. Persons into whose possession this
release and the related hybrid bond documentation may come are required to
inform themselves about and comply with such restrictions. This release and the
related hybrid bond documentation may not be distributed or published in any
country or jurisdiction if to do so would constitute a violation of the
relevant laws of such jurisdiction or would require actions under the laws of a
state or jurisdiction other than Finland, including the United States, Canada,
Australia, Hong Kong, South Africa and Japan. The information contained herein
shall not constitute an offer to sell or tender, or a solicitation of an offer
to buy or sell Sponda's hybrid bond to any persons in any jurisdiction in which
such offer, solicitation or sale or tender would be unlawful. Sponda's
representatives assume no legal responsibility for such violations, regardless
of whether the parties contemplating investing in or divesting Sponda's hybrid
bond are aware of these restrictions or not. Sponda's hybrid bond has not been
and will not be registered under the US Securities Act of 1933, nor under any
securities legislation of any state in the United States, and it may not be
offered, sold, resold delivered, distributed, bought or transferred in the
United States or to US citizens or on behalf of US citizens, except pursuant to
an exemption from the registration requirements of the Securities Act of 1933
and any applicable state law legislation.