22 Aug 2012 17:44

Nizhny Novgorod region placing 8 bln rubles in bonds at 9.75-10.05%

MOSCOW. Aug 22 (Interfax) - Russia's Nizhny Novgorod region is holding book-building for 8 billion rubles in series 34008 bonds August 22-23, the Soyuz Bank, which is running the offering, said in materials.

The five-year bonds have semi-annual coupons. Yield guidance for the first coupon is 9.75-10.05% pa. Coupons 2-6 will have the same yield as the first coupon, coupons 7 and 8 will be 0.2% lower and coupons 9-10 - 0.4% lower than the first.

The bonds will be placed on the MICEX exchange in August 29.

These are amortized bonds: 20% of face value will be paid off after three years, and 40% in each of the next two years.

Each bond has face value of 1,000 rubles.