Norway-based food-to-energy conglomerate Orkla said today (30 March) that it is mulling the launch of bond issues in its domestic market.
As part of the move, Orkla will offer to buy back bonds in two bond issues – ORK02 and ELK15. DnB NOR Markets and Nordea Markets have been chosen as arrangers of the new issues.
Orkla said the funds would be used for “general corporate purposes”.
Last month, Orkla’s food unit Orkla Brands, posted a rise in fourth-quarter earnings thanks to price hikes and a tight control on costs.
The company, which includes operations in the Nordic region, Russia and India, posted earnings before amortisation, restructuring and significant impairments of NOK804m (US$119.4m) during the fourth quarter of 2008 – up from NOK696m a year earlier.
Underlying profits, excluding the effects of foreign exchange, acquisitions and disposals, rose 10%.
Revenue rose from NOK6.18bn a year ago to NOK6.74bn, Orkla Brands said, with underlying sales climbing 5% during the quarter.
However, sales volumes in all of Orkla Brands’ business units, except Orkla Brands Nordic, fell during the quarter.