On March 30, 2016 VIA SMS Group entered into Latvian Central Depository a new bond issue with the following characteristics: 

VIA SMS Group will use new bond issue to refinance existing bond issue by offering bondholders to replace existing bonds (ISIN LV0000801496) against newly issued bonds.

Replacement of Bonds

Since the Issuer has an outstanding bond issue with ISIN LV0000801496, Current Bondholders can replace Current Bonds with ISIN LV0000801496 with newly issued bonds. The replacement ratio for such Replacement Offer should be fixed at 1 (one) Current Bond (LV0000801496) against 1 (one) Bond of new Bond Issue. In Nominal Value equivalent, this replacement ratio should constitute EUR 1,000 (one thousand) against EUR 1,000 (one thousand).

Replacement Offers have no priority over purchase offers, and replacement offers could be submitted to the Issuer in free form until 25th of August 2016 (including), which is maturity date of Current Bonds with ISIN LV0000801496.

Issuer will provide replacement agreement, which will be sent to those Current Bondholders, who have shown interest about the replacement. After both parties sign replacement agreement, the Issuer will submit it to the Issuing Agent, in order to replace Current Bonds with ISIN LV0000801496 with new Bonds.

Settlement of replacement of Current Bonds with ISIN LV0000801496 with new Bond Issue should be carried out as FOP (free of payment) according to the LCD rules No 4 “On Financial Instruments Transfer”. Current Bondholders would transfer Current Bonds to Issuer’s financial instruments’ account in Issuing Agent first and only after Current Bonds are received in Issuer’s financial instruments’ account the Issuing Agent, per Issuer’s instructions, would transfer new Bonds to Current Bondholder’s financial instruments’ account, which would be stated in replacement offer. Settlement of Bond replacement would be done without accrued interest.

It is planned that new Bond issue will be included in Nasdaq Riga stock exchange when replacement of Bonds will be done.

         Eduards Lapkovskis
         COO
         SIA VIA SMS Group
         Phone: +371 67212412
         E-mail: eduards.lapkovskis@viasmsgroup.com