Pale Fire Capital expands market investments and issues new bonds

Pale Fire Capital (PFC), a Czech investment group led by Jan Barta and Dušan Šenkypl, has significantly expanded its stock market activities. The group’s investment company increased its volume of investments in stocks and other exchange-traded instruments to 65.9 billion CZK, up from 37.5 billion CZK the previous year.

This figure includes financial leverage through margin financing and short selling. PFC manages these assets through three sub-funds: Core, Growth, and Friends & Family. The company has declined to provide further details beyond public documents, citing internal privacy.

In a separate move, Pale Fire Financing, a subsidiary of PFC, is issuing 750 million CZK in 5-year senior bonds (7.25/2031) on the regulated market of the Prague Stock Exchange. The primary purpose of this issuance is to refinance the existing Pale F. F. 5.75/2026 bonds due in October. The new bonds carry a 7.25% annual coupon and include a loan-to-value (LTV) covenant, which stipulates that the group's debt-to-asset ratio must not exceed 50%.