Company: FRHC
Filing Date: 2025-02-07
Form Type: 10-Q
Source: 0000924805-25-000002
Chunk: 217

Company: Freedom Holding Corp.
Filing Date: 2025-02-07
Form: 10-Q
Item: Part I, Item 8
Chunk 217
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 2024September, 2026Freedom SPC bonds due 2028200,325 200,386 1-2 years: 12%3-5 years: EFFR + 6.5%December, 2023December, 2028Freedom SPC bonds due 202664,738 64,546 5.5%October, 2021October, 2026Accrued interest2,237 2,319 Total debt securities issued$468,835 $267,251 As of December 31, 2024 the carrying value of the Group’s debt securities issued by Freedom SPC bonds due 2026 were  $201,535 and $64,738 for September and October, respectively. The carrying value of Freedom SPC bonds due 2028 was $200,325. The Freedom SPC bonds are denominated in U.S. dollars and were issued under Astana International Financial Centre ("AIFC") law and trade on the AIX. The Company is a guarantor of the Freedom SPC bonds.The Freedom SPC bonds due 2026 bear interest at an annual rate of 5.5% and mature in October 2026. Interest is paid semi-annually in April and October. For the first two years of Freedom SPC bonds due 2028, the annual interest rate is 12% and for subsequent years the interest rate will be fixed and set as the sum of Effective Federal Funds Rate (EFFR) as of December 10, 2025 and a margin of 6.5%. Interest is paid on a monthly basis. The bondholders have a right of early redemption after two years following the issue date at nominal value plus accrued interest. After two years following the issue date, the issuer has the option to redeem the bonds in full or in part at nominal value plus accrued interest.During the quarter ended December 31, 2024, the Company issued additional bonds with the aggregate principal amount of  $200,000 with an annual interest rate of 10.5%  and maturity date in September 2026. Interest is paid on a quarterly basis. Debt securities issued are initially recognized at the fair value of the consideration received, less directly attributable transaction costs. The Group has no financial covenants to comply with under the terms of its debt securities.

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Table of ContentsFREEDOM HOLDING CORP.NOTES TO CONDENSED CONSOLIDATED FINANCIAL STATEMENTS