On Vnesheconombank’s Eurobond Placement

23 november 2010 года
#News
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Vnesheconombank has successfully placed eurobonds of series 2 and 3 denominated in US dollars for an amount of 600 million US dollars for a period of 7 years and for an amount of 1 billion US dollars for a period of 15 years. These issues were made under the Euro Medium Term Notes (EMTN) Program. The coupon rate for 7-year eurobonds was 5.45% per annum, for 15-year eurobonds – 6.8% per annum.

Vnesheconombank is the first among Russian financial institutions to have raised credit resources for a period of 15 years.

Vnesheconombank’s 15-year issue of eurobonds is the record one in terms of fundraising period among issues of corporate eurobonds on the international market after the world economic crisis.

The investor base is characterized by a good diversification by types and geography. A wide range of prime investors participated in the issue including investors from Europe (their participation share was 50.3%), the US (their participation share was 41.5%), Asia (their participation share was 7.1%) and other countries. The total amount of bids was in excess of 360.

Vnesheconombank’s eurobond placement is a momentous transaction for the international eurobond market, it sets new, lower benchmarks for interest rates for raising funds in the future by Russian borrowers.

 

Press Office of Vnesheconombank
Contact person: Ekaterina Karasina
Phone: +7 (495) 608-46-93, Fax: +7 (499) 975-21-34
E-mail: press@veb.ru


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