Russia may place USD 7bn sovereign Eurobond on July 15.

By bne IntelliNews June 17, 2013

Russia may place USD 7bn worth of sovereign Eurobonds on July 15, PRIME reports citing unnamed sources. The planned amount fully covers the external borrowing scheduled for this year. The book for the issue is reportedly going to open on July 8. A road show is not going to be held. Key investors will be met in London and New York between July 8 and July 15.

The finance minister Anton Siluanov has previously told the press that Deutsche Bank, Barclays, Royal Bank of Scotland, and domestic VTB Capital, GazpromBank, and Renaissance Capital were picked as the organisers of the sovereign Eurobond issue. Citibank was appointed as a financial agent of the deal. Siluanov added that there was no rush for the issue and that the ministry is waiting for a window at the market. Last month Siluanov announced that Russia might place sovereign Eurobonds in June.

We remind that in March 2012, Russia issued USD 2bn worth of 5-year bonds at coupon rate of 3.25%, USD 2bn worth of 10-year Eurobonds at a rate of 4.5% and USD 3bn worth of 30-year bonds at a rate of 5.625%.

The government's external debt amounted to USD 49.84bn as of May 1, 2013, inching up 0.06% m/m and declining by 1.8% ytd. In EUR terms, the external debt went down by 1.9% m/m and 0.5% ytd to EUR 38.14bn. Eurobonds accounted for the largest part of the debt - USD 34.27bn.

Related Articles

Siemens fumes as worst suspicions on Crimea turbines confirmed

German technology major Siemens said on July 21 it has "credible evidence" that all four gas turbines supplied for a power plant in the south of Russia were locally modified and illegally supplied ... more

Azerbaijan jails Russian blogger for three years for Nagorno-Karabakh visit

A Baku court sentenced Russian travel blogger Alexander Lapshin to three years behind bars for having ... more

Evolution Equity Partners closes $125mn cybersecurity-focused fund

Evolution Equity Partners announced on 17 July the final closing of a new fund with total capital commitments of $125mn to make investments in cybersecurity and next generation enterprise software ... more