13 Nov 2010 13:07

Cherkizovo Group entirely places BO-03 bonds worth 3 bln rubles

MOSCOW. Nov 13 (Interfax) - OJSC Cherkizovo Group entirely placed exchange bond issue BO-03 worth 3 billion rubles on Friday, the company said in a statement.

The rate for the exchange bonds' first coupon was set at 8.25% during auction at placement. The coupon rate has been set for the entire three-year maturation period.

The coupon guidance came to 8%-8.5%, which equals a yield against maturation of 8.16%-8.68%. The three-year bonds have a face value of 1,000 rubles each and semiannual coupon payments. The bonds do not include an offer for preterm buyback.

Zenit Bank was the placement organizer.

The group decided to place exchange bond issues BO-1, BO-02 and BO-3 worth a combined 5 billion rubles in December 2009. The bonds were registered with the MICEX on December 30, 2009.

The Cherkizovo group unites seven meat-processing plants in the Moscow, Penza, Ulyanovsk, and Rostov regions and the Krasnodar territory, four hog complexes, two poultry complexes, and a compound-feed plant. The company is controlled by Igor Babayev and members of his family. It raised $251 million with an IPO on the London Stock Exchange in May of 2006.