SATO gets unsecured seven-year loan of €100 million from OP Corporate Bank Plc

29 May 2017

SATO Corporation, Press Release, 29th May 2017 at 2:00 pm

SATO Corporation and OP Corporate Bank plc have agreed on an unsecured bilateral loan of €100 million. The agreement on the exceptionally long seven-year loan was signed in Helsinki on 29 May 2017.

- This bank loan is consistent with main terms of unsecured bonds issued by us and therefore in line with the direction chosen by us, says SATO President and CEO Saku Sipola. - OP has understood our strategic aim very well, and this financing agreement is part of a continuous process where loan agreements have previously been made with Aktia Bank Plc and the European Investment Bank (EIB).

The financing agreement strengthens measures taken by SATO to adjust its financing structure towards increased use of unsecured debt. SATO's unencumbered assets ratio was 56.3% at the end of Q1 2017.

SATO has consistently diversified its financing structure and improved its liquidity position. An important step in this was the €400 million unsecured syndicated credit facility agreement signed in June 2016 with several commercial banks.

The solidity of SATO's financing structure has also been boosted further by unsecured bond loans and the unsecured loan of €150 million obtained in late 2016 from the European Investment Bank (EIB).

For more information please contact:

SATO Corporation
Markku Honkasalo, CFO, phone 0201 34 4226 or +358 50 598 8728
Janne Runsamo, Group Treasurer, phone 0201 34 4009 or 045 671 3567

www.sato.fi/en 

SATO is one of Finland's leading lessors of rental apartments. SATO aims to offer full options for rental housing and an excellent customer experience. At the end of 2016, SATO owned a total of 25,300 rental apartments in Finland's largest growth centres and in St. Petersburg.

We contribute to sustainable development and initiative through our operations, and engage in open interaction with our stakeholders in order to produce added value. We operate over the long term and profitably. We increase the value of housing assets through investments and divestments and through our repair activities.

SATO Group's net sales in 2016 stood at EUR 263.0 million* in accordance with the new reporting practices, its operating profit stood at EUR 267.2 million and its profit before taxes was EUR 219.4 million. The value of SATO's investment assets is EUR 3.4 billion.

 *Net sales have been changed in accordance with the new reporting practices.