Intrum AB’s (publ) Group Treasury aims to secure a diversified funding base to assure access to funds and support the Group’s business opportunity.
Intrum AB’s (publ) Group Treasury aims to secure a diversified funding base to assure access to funds and support the Group’s business opportunity. Financing is to the extent possible made in local currency to minimize currency effects in the P/L, and in combination with currency borrowings, financial derivatives is used to match Intrum AB’s assets. The Treasury activities are centralized to manage the cash, exploit economies of scale and optimize the Group’s financial net as efficiently as possible. All financial transactions are carried out within risk mandates and limits established by the board.
Further to the funding sources mentioned below Intrum AB has a syndicated Revolving Credit Facility (RCF) of EUR 1.1bn signed in June 2017 with a termination date 4.5 years after the completion of the Intrum-Lindorff merger. The RCF will be used for general corporate purposes including portfolio purchases and smaller M&A transactions.
Intrum AB regularly seeks access to a diverse funding sources and hence, from time to time, utilizes bilateral funding opportunities. For the latest update on Intrum's funding base, please refer to the interim investor presentation downloadable here.
A Credit Rating is an assessment of a company’s ability to fulfill its financial obligations. To maintain a robust financial platform for growing and supporting Intrum AB’s (publ) business, an external rating is a necessity in the international financial markets to attract funds at attractive levels. Intrum AB (publ) is in regular contact with the credit analysts of the agencies to give an accurate picture of Intrum AB’s (publ) credit and business outlook.
Swedish MTN Program
Since February 2012 Intrum AB (publ) has issued bonds on the Swedish market under a MTN (Medium Term Note) Program. Currently Intrum AB (publ) has SEK 2 billion outstanding under the MTN Program, which has a maximum total allowance of SEK 5 billion.
The bonds are listed on Nasdaq Stockholm
Intrum Updated MTN Prospectus
Final Loan Agreement
Intrum AB (publ) has the possibility to raise 4 BSEK in short term funding under its commercial paper program as a way to diversifying the base of our capital structure, lower the funding cost and for liquidity management.