Demand for Transneft's BO-03 bonds at 15.5 bln rubles
MOSCOW. Oct 17 (Interfax) - Demand for Transneft's BO-03 bonds totaled 15.5 billion rubles, according to materials from Sberbank CIB, who organized the deal together with Gazprombank .
Because of this, the issuer decided to accept bids from 31 investors. According to the organizers, the issuer initially planned to offer 20 billion rubles in bonds with nominal value of 25 billion rubles, but because demand was less than this, the company decided to place bonds worth 15 billion rubles.
Bids from investors were accepted until October 15.
Transneft set the first coupon rate on 20 billion rubles in series BO-03 exchange-traded bonds at 10.8%-11% per annum, which corresponds to indicative yield of 11.09%-11.3% p.a. The issue includes a 1.5-year offer. The rates of second, third and fourth coupons are equal to the rate of the first coupon. The first coupon rate has been set at 11% p.a. following marketing for the bonds.
The company also decided early redemption on the BO-03 bonds was impossible at the discretion of the issuer.
Actual placement is planned for October 22 and will take place on open subscription on the MICEX stock index. Sberbank CIB will be the underwriter.
It was reported that the final decision on placement would be made if the market conditions meet company expectations.