Goldman Sachs and Bank of America are reportedly leading a €1.215bn loan for Verisure following the company’s €3.2bn listing on Nasdaq Stockholm, Europe’s largest IPO in three years, Bloomberg says.

The new term loan A will refinance part of Verisure’s existing €2.5bn term loan B and reduce borrowing costs as the Swedish security group strengthens its balance sheet post-listing.

Backed by Hellman & Friedman, Verisure plans to use proceeds from the IPO to lower its leverage ratio to around three times debt-to-earnings from 4.7x previously, with a target of 2.5x by the end of 2026. Moody’s recently raised the company’s credit rating to Ba1, one notch below investment grade.

The company’s IPO, which priced near the top of its range, generated €3.2bn in gross proceeds and was the largest European share sale since 2022. Shares in Verisure have gained about 21% since the debut.

Separately, H&F is exploring a €1bn fundraising via the holding company that owns its Verisure shares, led by Goldman Sachs, Morgan Stanley, and Barclays. The financing will be structured as payment-in-kind (PIK) toggle notes, allowing the firm to capitalise interest rather than pay it in cash.

Founded in 1988, Verisure provides monitored security systems for households and small businesses across Europe and Latin America. The company’s product range includes video detectors, smart locks, shock sensors, and connected alarm systems.

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