Latvia’s INDEXO Bank is offering 10% yield subordinated bonds across the Baltic States

Rapidly growing Latvia’s digital INDEXO Bank is issuing subordinated bonds worth EUR 3 million with a fixed annual interest rate of 10%. Investors in Lithuania, Latvia, and Estonia are invited to participate in the further expansion of the bank, which is licensed by the ECB and belongs to a group managing more than EUR 1.5 billion in assets. The bond placement in Lithuania is organized by the investment services firm Orion Securities.

The issuance, taking place from 17 to 24 April, is the first tranche of a subordinated bond programme with a total potential size of up to EUR 10 million. The bonds will have a maturity of 10 years, with an option for early redemption after 5 years, subject to regulatory approval. The Bank intends to apply for the admission to trading of the bonds on the Baltic Bond List of Nasdaq Riga.

“Thanks to our modern, flexible, and highly customer-attractive business model, the bank is growing rapidly. However, our priority is sustainable expansion based on capital discipline and clear risk management. The capital raised will allow us to maintain our growth pace while strengthening our financial resilience,” says Valdis Siksnis, Chairman of the Management Board of INDEXO Bank.

At the end of March, the number of the bank’s clients exceeded 57,000. Deposits amount to EUR 90.5 million and grew by 23% during the first quarter of this year, while the loan portfolio increased by 38% to EUR 76.7 million. 

The funds raised from the bond issuance will be used to strengthen capital adequacy ratios and to finance the expansion of the loan portfolio. 

From its inception, the bank has been built as a digital-first institution: core services – including account opening, daily banking and lending – are accessible via a mobile app, without the need for a physical branch network. This model enables INDEXO Bank to operate more efficiently than traditional players, scale its customer base more rapidly, and offer competitive conditions.

More information about the bond issue.

According to Jonas Elenskis, investment banking project manager of Orion Securities, the scale of operations and diversification indicate that the bank is built on a broad, already functioning financial ecosystem.

“For Lithuanian investors, INDEXO may appear to be a new name in the market, but in neighboring Latvia it is already well recognized. Within a relatively short period, the bank has achieved tangible scale and demonstrates strong potential for further growth. Importantly, the financial institution is supervised by the Bank of Latvia, ensuring a stringent regulatory environment and a consistently high level of compliance,” Elenskis states.

INDEXO Bank operates as part of the publicly listed financial services group INDEXO Group. It serves more than 300,000 clients and manages assets exceeding EUR 1.5 billion. Having started with pension savings, the group now operates as an integrated financial services platform. In the first quarter of 2026, it issued EUR 58.1 million in new loans.

Subordinated bonds are classified as Tier 2 capital, meaning that claims of bondholders would be satisfied after those of other creditors.

Investor presentation

Investors are invited to join a remote presentation of the bond issue:

Presentation in English: April 21, 2026, at 11:00. Registration link.

How to invest?

To invest, leave your contact details in this form and an Orion Securities investment consultant will get in touch with you. You can also invest via the self-service platform or send an email to obligacijos@orion.lt.

If you already hold a securities account with another brokerage firm or bank, you can also submit your investment order through them.

Orion Securities recommends consulting with your financial advisor and evaluating all the risks associated with the financial instrument and/or other circumstances that are significant to you before making an investment decision.

About INDEXO Group   

INDEXO is a financial services group that includes pension management companies IPAS INDEXO, AS INDEXO Atklātais Pensiju Fonds, IPAS VAIRO, as well as INDEXO Bank and AS DelfinGroup.                   

Founded and headquartered in Latvia, INDEXO is a Nasdaq Riga-listed company with almost 7 600 shareholders. Its mission is to fight for a better financial environment in Latvia and strengthen the well-being of Latvian residents by providing modern and personalized financial services.