Tele2 Russia to start marketing of bonds in June - company pres
MOSCOW. May 26 (Interfax) - Tele2 Russia will start marketing of its bonds in June, company president Dmitry Strashnov told television channel Russia Today in an interview.
"The roadshow starts in June," he said.
He added that Tele2 Russia plans to place around $1 billion in bonds.
"This will be done in two tranches. These funds will go to future operational development, not only in Russia but also in other markets," Strashnov said.
It was earlier reported that Russia's Federal Financial Markets Service (FFMS) registered the issues and their prospectus for OJSC Saint-Petersburg Telecom (a Tele 2 Russian Holding AB subsidiary).
The company's bond issues one through seven come to a combined 30 billion rubles.
The company plans to place 10-year bonds at a face value of 1,000 rubles by open subscription on the MICEX. Issues one and two come to 5 billion rubles each, issues three and four - each 3 billion rubles, issues five and six - each worth 4 billion rubles and issues seven - 6 billion rubles.
This is Tele2's first entry onto the Russian public debt market.
The company's capex in Russia for 2010 came to 1.5 billion Swedish krona ($232 million). The company plans to boost this figure to 2 billion krona ($310.7 million).
Tele2 has had operations in Russia since 2003. The company is licensed to provide cellular services in 37 regions of six Russian Federal Districts with services provided to over 18 million subscribers. According to ACM Consulting, Tele2 cornered 8.4% of the Russian cellular market in the fourth quarter of 2010.
