VEB invests 12 bln rubles in pensions in Rusnano bonds
MOSCOW. May 2 (Interfax) - Vnesheconombank has purchased 60% of ruble bonds series 4 and 5 issued by Russian nanotechnology company OJSC Rusnano, Alexander Popov, Alexander Popov, the director of the bank's trust management department, told the press Wednesday.
"This was a good market placement and we bought 60% of the issue volumes with difficulty because demand was high," he said.
The Rusnano 7-year series 4 and 5 issues totaled 10 billion rubles each. Thus, VEB invested 12 billion rubles in Russian pension funds to acquire the bonds. The bonds were placed at 8.6% per annum, which was calculated based on forecast annual inflation and a premium. Popov said the bonds were placed with a premium of 250 basis points against predicted inflation.
VEB also hopes to buy ruble bonds from Russian Railways , which is planning to offer bonds with yield tied to inflation, Popov said.
"We will see how the market goes and what premium against inflation they [Russian Railways] propose. If it is a good yield, we are willing to buy up to 30% of the issue," he said.
Russian Railways has not yet determined the parameters of the future issue. According to unofficial information, the parameters may be announced in mid-May.
VEB can buy up to 30% of corporate bonds with pension funds if the bonds are not guaranteed by the government. If the bonds are placed with a government guarantee, VEB can buy up to 70% of such issues.
