RZD could offer equivalent of $300 mln-$600 mln in Eurobonds in 2011
MOSCOW. Dec 7 (Interfax) - Russian Railways (RZD) could offer the equivalent of $300 million-$600 million in Eurobonds in 2011, the Russian rail monopoly's deputy CFO said.
The extent of the borrowing and currency might be decided in January, Pavel Ilichev told reporters.
RZD plans to raise 44.7 billion rubles in 2011 while paying off 38.7 billion rubles. In addition to Eurobond issues, the company could issue corporate and ruble-based exchange bonds, as well as raise loans in rubles.
RZD plans to pay off loans owed to West LB, Deutsche Bank, Credit Agricole and the European Bank for Reconstruction and Development (EBRD) in 2011.
As result, RZD's total debt could grow by 6 billion rubles in 2011 to 340 billion rubles.
Ilichev said that one of the main reason for raising the funds is the diversification of the company's loan portfolio.