Investor Presentaiton
Novo Nordisk Annual Report 2023
4.6 Borrowings
Introducing Novo Nordisk Strategic Aspirations
Risks
Management
Consolidated statements
Additional information
Issuance of Eurobonds
72
12
Reconciliation of liabilities arising from financing activities
DKK million
2023
Lease liabilities
Issued Eurobonds
Bank overdrafts
Total borrowings
2022
Lease liabilities
Issued Eurobonds
Loans
Bank overdrafts
Total borrowings
Nominal value in millions
Non-cash movements
Interest
Maturity
EUR
DKK
Beginning
Re-
of the year
payments
Proceeds
Additions¹
Disposals
Exchange
rates
Other
End of the
year
0.000% Fixed
Jun 2024
650
4,844
0.750% Fixed
Mar 2025
500
3,726
1.125% Fixed
Sep 2027
500
3,726
4,529
(1,448)
2,809
(4)
(170)
10
20,775
46
3
5,726
20,824
0.125% Fixed
1.375% Fixed
Jun 2028
650
4,844
Mar 2030
500
3,726
480
(19)
(4)
(1)
456
25,784
(1,467)
2,809
(4)
(128)
12
27,006
Eurobonds
4,129
9,654
(998)
1,358
(1)
43
(2)
11,120
(2)
3
4,529
20,775
12,503
(12,623)
120
-
359
(3)
95
27
2
480
26,645
(13,624)
11,215
1,358
(1)
188
3
25,784
1.2022 figures include additions from acquisition of business.
In 2022, three tranches of Eurobonds with an aggregate principal amount of
EUR 1.5 billion corresponding to DKK 11.1 billion were launched under the programme.
Net proceeds of the issuances were used for general corporate purposes, including
refinancing of the bridge loan facility established in connection with Novo Nordisk's
acquisition of Dicerna Pharmaceuticals, Inc. No bonds have been issued in 2023. The
total fair value of issued Eurobonds amounts to DKK 19.7 billion (DKK 18.7 billion in 2022).
ACCOUNTING POLICIES
The lease liabilities are related to IFRS 16 leases, primarily for premises and company
cars and include the present value of future lease payments during the lease term. Lease
liabilities are initially measured at the present value of the lease payments outstanding
at the commencement date, discounted using the incremental borrowing rate. The lease
liability is measured using the effective interest method. The lease liability is subsequently
remeasured to reflect changes in future lease payments, e.g. changes in lease terms.
Issued bonds, loans and bank overdrafts are initially recognised at the fair value of the
proceeds received less transaction costs. In subsequent periods these are measured at
amortised cost using the effective interest method. The difference between the proceeds
received and the nominal value is recognised in financial income or financial expenses
over the term of the loan. Where substantially all the risks and rewards of ownership are
retained in financial assets that have been transferred, the assets are not derecognised
and the proceeds obtained are recognised as a financial liability. For fair value
determination refer to note 4.9.View entire presentation