Financing sources ensure growth

Financing plays an important role in pursuing strategic growth. VVO Group's strong financial performance and stable operations create a solid foundation for ensuring funding availability. Profitable investment activities require long-term, predictive financial planning. VVO Group maintains good relations with financiers and, in recent years, our sources of financing have been diversified with a EUR 100 million secured bond.

Strong investment growth in the future will require versatile funding sources. During 2014, VVO raised EUR 112 million in new long-term bank loans. One vital aspect of funding future growth is to ensure diverse funding sources, and successful experiences from the secured bond issuance in 2013 support this. By diversifying our sources of funding, we will be able to broaden our financing base and manage counterparty and refinancing risks. Another important aspect of systematic operations is to properly distribute the maturity of long-term loans, thereby reducing the risk of refinancing.

Openness with financiers supports developments in financing. VVO investigates new opportunities and develops its operations by seeking appropriate, strategy-promoting operating models not only for its business operations but also for its financing solutions.

VVO seeks optimal solutions for financing its long-term investments. We have increased our commercial paper programme size to EUR 200 million, which will enable us to react even more rapidly to investment opportunities and give us the breathing space to optimise our long-term financing.

Loan to Value

EUR million201220132014
The Group525352
VVO Non-subsidised segment454441

Debt portfolio structure

Sarake 1
Interest subsidy loans32
Annuity and mortgage loans16
Market-based loans47
Other loans1
Commercial papers4

Distribution of long-term loan maturities

EUR million2015201620172018201920202021202220232024

Equity ratio

Book value17.718.519.820.721.8
Fair value38.841.342.0