OGK-2 to place 5 bln in series 2 bonds on Nov 1
MOSCOW. Oct 26 (Interfax) - Russian power generation company OGK-2 plans on November 1 to place 5 billion rubles in series 2 bonds, the company said in a press release.
The bonds will be placed through conversion of 5 billion rubles in OGK-6 series 1 bonds. Each OGK-6 series 1 bond will be converted into one OGK-2 series 2 bond.
The bonds have face value of 1,000 rubles.
OGK-6 placed the 5-year bonds in April 2007 through open subscription on the MICEX. The placement was organized by Rosbank and Unicredit Bank.
The bonds mature on April 19 2012.
The bonds have 10 semi-annual coupons. Yield for coupons 1-6 was 7.55% and yield for coupons 7-10 was 7.25%.
The deal is part of Gazprom's consolidation of the two power generation companies through the merger of OGK-6 with OGK-2.
Gazprom Energoholding currently owns 57.3% of OGK-2 shares and 60.6% of OGK-6 shares. Minority shareholders own 42.7% and 39.4%, respectively. After the consolidation, Gazprom Energoholding will obtain 58.8% of the new company, OGK-2 minority shareholders will own 23.6% and OGK-6 minority shareholders - 17.7%. The consolidated company will have capacity of nearly 18 gigawatts and annual production of around 80 billion kilowatt hours.