Eurasian Development Bank placing 5 bln rubles worth 5-yr ruble-denominated Eurobonds, yield guidance about 8.375% - source
MOSCOW. Sept 27 (Interfax) - The Eurasian Development Bank is placing 5 billion rubles worth of five-year ruble-denominated Eurobonds and the yield guidance is around 8.375% per annum, a financial market source told Interfax.
The organizers are Raiffeisen Bank International and Sberbank CIB.
The bank held meetings with investors September 26.
One source on the financial market told Interfax: "The road show has already gone through London. Today it is happening in Germany and tomorrow meetings are planned with investors in Austria."
The bank placed $500 million worth of ten-year Eurobonds earlier this month at 4.767% per annum. The organizers were BNP Paribas, Citi, HSBC, and VTB Capital. The last time it placed Eurobonds was in September of 2009, when it place $500 worth of five-year bonds at 7.375%. The organizers of that placement were Deutsche Bank, JP Morgan, and Royal Bank of Scotland.
In May of this year, the bank placed European commercial paper (ECP) in the context of a program for issuing commercial securities to the tune of $3.5 billion. The EDB place two ECP issues - one for $25 million with a 184-day term and the other for EUR 32 million for a term of 364 days. These securities were placed among European and Russian institutional investors. The placement dealers were the investment banks UBS, Ltd. and VTB Capital.
The EDB also has KZT 20 billion worth of global Eurobonds in circulation that mature in April of 2014.
The EDB is an international financial organization founded by Russia and Kazakhstan in January 2006 to assist the development of market economies in its member countries, and expand trade and economic ties. The EDB has charter capital of more than $1.5 billion. Other members of the bank are Armenia, Tajikistan, Kyrgyzstan and Belarus.
