The public offer of subordinated bonds of AS LHV Group (LHV Group) closed on Tuesday, 12 November 2024. Altogether 2,293 unique investors participated in the offering, subscribing bonds for a total amount of EUR 49.64 million. Thus, the issue volume of EUR 20 million was oversubscribed 2.5 times.

The subscription period for the bonds started on 29 October 2024 at 10:00 and ended on 12 November 2024 at 16:00.

In accordance with the prospectus of LHV Group subordinated bonds registered by the Estonian Financial Supervision and Resolution Authority on 28 October 2024, the Supervisory Board of LHV Group decided on the subscription outcome of the issue, the volume of the issue, and the allocation of the bonds to be offered according to the following principles:

all subscription orders of the same subscriber were summed up;all subscription orders of LHV Group's previous non-professional investors and customers up to the EUR 5,000 were fulfilled, as were all subscription orders of other non-professional investors up to EUR 2,000;LHV's previous non-professional investors were allocated 33.50%% of their subscribed amount exceeding the EUR 5,000 threshold;LHV's previous non-professional customers were allocated 27.50%% of their subscribed amount exceeding the EUR 5,000 threshold;The new non-professional investors were allocated 20%% of their subscribed amount exceeding the EUR 2,000 threshold;Institutional (professional) investors were allocated 20% of the amount they subscribed for;the number of bonds with decimal places was rounded to the previous whole number. "We are grateful to the investors for their support for LHV's success both in Estonia and internationally. We will use the raised capital as part of our own funds, which allows us to continue to rapidly increase our loan portfolio and other business volumes. At the same time, we were able to offer an investment opportunity with an attractive return in an environment of falling interest rates," said Madis Toomsalu, Chairman of the Management Board of LHV Group.

As a result of the emission LHV Group issues 20,000 subordinated bonds with a nominal value of EUR 1,000, annual interest rate of 6.0%, and redemption date of 15 November 2034. The subordinated bonds will be transferred to the investors' securities accounts on or about 15 November 2024 and will be listed on the Baltic Bonds List of Nasdaq Tallinn Stock Exchange on or about 18 November 2024. This is the second issue of subordinated bonds under the bond programme confirmed in 2023. Under the bond programme EUR 35 million worth of subordinated bonds have previously been issued and altogether it is possible to raise up to EUR 200 million.

LHV Group is the largest domestic financial group and capital provider in Estonia. The LHV Group's key subsidiaries are LHV Pank, LHV Varahaldus, LHV Kindlustus, and LHV Bank Limited. The Group employs over 1,200 people. As at the end of October, LHV's banking services are being used by 448,000 clients, the pension funds managed by LHV have 116,000 active clients, and LHV Kindlustus protects a total of 169,000 clients. LHV Bank Limited, a subsidiary of the Group, holds a banking licence in the United Kingdom and provides banking services to international financial technology companies, as well as loans to small and medium-sized enterprises.

Priit Rum

Communications Manager

Phone: +372 502 0786

Email: priit.rum@lhv.ee