Russian fertiliser major Eurochem reportedly places $0.6bn Eurobonds

By bne IntelliNews June 27, 2017

Russian fertiliser major Eurochem is placing an issue of 4-year Eurobonds, Prime reported on June 27, citing unnamed banking sources.

Reportedly the yield guidance for the US-dollar denominated issue is 4.375%. The issue follows a road show held by the company in Switzerland and UK, organised by Citi, JP Morgan, Credit Agricole CIB, Sberbank CIB, and UniCredit.

Eurochem said earlier that it was planning a Eurobond issue of up to $600mn, yielding up to 4.5% annually.

In October 2016, Eurochem placed an issue of its 3.5-year, $500mn Eurobond, with the yield announced at 4.25%, closing at 3.80%, and demand exceeding $1.8bn.

“The new placement allows the company to move ahead with optimisation of its debt redemption schedule, substantially reducing the peak ($1.4bn as of end of June 2016) in 2017,” Gazprombank said in a research note last October.

“Given the current strong market, we do not expect the company to face any major hurdles should it be necessary to revise covenants or obtain waivers,” Gazprombank concluded, adding that “we are upbeat about the company’s financial discipline as well as the willingness and ability of its shareholder to support the business”.

Related Articles

Uzbekistan's central bank sticks with benchmark rate of 14%

Uzbekistan's central bank on March 14 decided to stick with its key interest rate of 14.0%. The regulator forecast annual inflation would be 8-9% by the end of this year compared to its inflation ... more

Tashkent proposes JV to take charge of construction of China-Kyrgyzstan-Uzbekistan railway

Uzbekistan has proposed establishing a joint venture that would be responsible for the construction and management of the China-Kyrgyzstan-Uzbekistan (CKU) railway, Railway Supply reported on March ... more

Erste Bank sees modest rebound for Hungary in 2024

Hungary’s economic rebound should be much slower than earlier anticipated in 2024 and GDP is set to expand 2.0% after a 0.9% contraction in 2023, Erste Bank said in a note. Officially, the ... more

Dismiss