Demand for Credit Europe Bank's sixth series bond issue comes to over 22 bln rubles
MOSCOW. Feb 17 (Interfax) - Total demand for Credit Europe Bank's sixth series bond issue came to over 22 billion rubles, Citibank, one of issue's organizers, said in a press release.
Investors submitted over 70 applications for the acquisition during marketing.
The bank placed its three-year bonds on the MICEX by open subscription on February 15. The bonds have a face value of 1,000 rubles each.
The first coupon rate was set at 8.3% through book-building. The rates of the second and third coupon equal that of the first. The bid book for investors was open between January 26 and February 11. Alfa-Bank and Citibank accepted investor applications for the issue.
The guidance for the first coupon initially came to 8.4%-8.9% but was later reduced to 8.3%-8.6%, which equals a yield of 8.47%-8.78% against an 18-month offer.
The bonds have six semiannual coupons.
The bank already collected applications for this issue between November 24 and December 8, 2010 but decided against placement owing to negative market conditions. The guidance for the first coupon then came to 7.3%-7.95%.
Russia's Central Bank registered this issue on April 15, 2010.
The bank currently has its second bond series worth 4 billion rubles in circulation. The issue matures on June 28, 2011.
Credit Europe Bank was 47th biggest bank by assets at the end of 2010 according to the Interfax-100, compiled by the Interfax Center for Economic Analysis.
