Glitnir sells mandatory convertible bonds for ISK 15bn ($ 200m)

glitnir-banner.jpgGlitnir successfully issued and sold an ISK 15bn ($200m) five year mandatory convertible bonds in a closed offering to Icelandic institutional investors, which commenced on 12 March ending yesterday. The bonds are subordinated and count as Tier 1 capital and strengthen the bank’s capital ratio considerably. Glitnir Capital Markets was sole manager of the offering.

Glitnir CEO, Lárus Welding, was pleased with the successful issue. “The convertible issue was successfully concluded in the face of uncertain market conditions and demonstrates investors trust in Glitnir’s underlying operation and credit. The issue was focused on Icelandic institutional investors which know the bank, in particular the pension funds, and was well received by the market”, said Lárus Welding.

The bonds will convert into shares in Glitnir banki hf in five years. The issue of the bonds and the authorisation for the increase in share capital is subject to the approval of a shareholders’ meeting, which will be held on 19 March 2008 at Glitnir banki hf. headquarters.

For further information:
Bjørn Richard Johansen, Managing Director, Global Corporate Communication, mobile +47-47 800 100, e-mail:

Már Másson, Executive Director, Iceland, Corporate Communications, mobile: 354-844 4990, e-mail:

Vala Pálsdóttir, Head of IR, mobile: +354 440 4989, mobile: +354 844 4489,

About Glitnir Bank
Glitnir is a Nordic bank, with headquarters in Iceland and operations in ten countries. Our home markets are Iceland and Norway where we offer a broad range of financial services, including corporate banking, investment banking, capital markets, investment management and retail banking. Outside of our home markets we have operations in Finland, Sweden, UK, Luxembourg, US, Canada, China and Russia. We will furthermore open an office in India in the second half of 2008. Our international expansion is mainly driven by two specialized industry sectors – Seafood and sustainable energy – in which we have developed significant industry expertise built on our Icelandic and Norwegian heritage. Our shares are listed on OMX in Iceland under the symbol, GLB.

For more information on Glitnir bank visit