A new series of corporate bonds issued by Moscow-based International Investment Bank (IIB) on the Romanian capital market has been admitted to trading on the Bucharest Stock Exchange (BVB), the bourse said on October 22.

The issue, IIB's fourth on the BVB, is structured in two tranches, both with three years maturity: one in the Romanian currency, which amounts to RON300mn and pays an interest rate of ROBOR 3M + 1.4% and the other one in foreign currency of €80mn with an interest rate of 1.5026% per annum.

"This year rating upgrades from Standard & Poor’s and Moody’s, in the context of IIB’s continuously improved diversification of the lending and funding and quality of treasury assets, was materialized in tighter spreads for both tranches comparing with IIB’s last year transaction," IIB chairperson Nikolay Kosov said.

The value of IIB bonds issues grew from one year to another, starting from RON111mn in 2015, to RON300mn in 2016, to the equivalent of 125mn (€60mn + RON300mn) last year, to now about €145 million (RON300mn + €80mn).

The issue was intermediated by BT Capital Partners, the investment banking and capital markets unit of the Financial Group Banca Transilvania as lead manager, jointly with BRD - Groupe Societe Generale and ING Bank.

The IIB is a multilateral development institution founded in 1970 and reformed in 2012. Its current nine members/shareholders are Bulgaria, Cuba, the Czech Republic, Hungary, Mongolia, Romania, Russia, Slovakia and Vietnam, all participating through intergovernmental agreements. In April 2015, the IIB opened its first European regional office in Bratislava.