Funding sources

Orkla’s main funding sources are bilateral loans from Orkla’s relationship banks and loans in the Norwegian bond market. Orkla ASA Group Treasury also continuously evaluates other funding sources.

External borrowing is mainly centralised at Orkla ASA1 , and capital needs in fully owned subsidiaries are normally covered by internal loans from Orkla ASA, or equity. The capital structure of portfolio companies and their subsidiaries is adapted to commercial, as well as legal and tax considerations. The short-term liquidity needs of the companies is managed at group level through cash pools.

An overview of the group’s funding as of 31 December 2024 is shown below

Funding sources table, Bild

Covenants

Orkla has no loan agreements with financial covenants for the group or for Orkla ASA or for the consolidated group. The loan agreements include some limitations on disposals of businesses, creation of security interest on assets, borrowing at subsidiary level, and cross default clauses. As of 31 December 2024, debt secured by pledges amounted to NOK 175 million, whereas the book value of pledged assets was NOK 627 million. The group’s total guarantee commitments amounted to NOK 32 million. Bonds issued in the Norwegian bond market are listed on the Oslo Stock Exchange.