Sappi expects new bonds to reduce its interest bill

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Sappi expects new bonds to reduce its interest bill
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CEO Steve Binnie says the refinancing plan ‘meets the group’s objective of extending the debt-maturity profile and further reducing finance charges’

Storage towers at Sappi’s Ngodwana wood mill in Mpumalanga. Picture: BLOOMBERG

Sappi said on Wednesday it raised €450m worth of new bonds due 2026. The bonds had a coupon of 3.125% a year. Sappi CEO Steve Binnie said the refinancing “meets the group’s objective of extending the debt-maturity profile and further reducing finance charges”.The group’s shares were 0.5% up at R73 in early trade.

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