Evraz subsidiary opens bid book for 20 bln rubles in bond issues
MOSCOW. Oct 9 (Interfax) - Sibmetinvest, a subsidiary of the Evraz Group, opened its bid book for two bond issues worth a combined 20 billion rubles on October 9, the subsidiary said in a statement.
Sibmetinvest said that the term for directing offers started at 11:00 pm Moscow time on October 9 and would close at 3:00 pm Moscow time on October 20.
Preliminary date for the bond placement is October 22, 2009.
A market source told Interfax that both the issues (series one and two) have five-year offers. "The organizers are counting on a market placement and are trying to open the market for long five-year issues," he said. The guidance for the first coupon comes to 13%-14%.
Evraz Group S.A has guaranteed the company's bonds. Each issue comes to 10 billion rubles and has a maturation period of ten years. The face value of one bond equals 1,000 rubles.
The bonds will be placed on the MICEX by open subscription.
About 72% of Evraz Group shares are owned by Lanebrook, whose beneficiaries, on the one hand, are Millhouse, the holding company for the assets of billionaire Roman Abramovich and his business partners (50%); and Evraz executives Alexander Abramov and Alexander Frolov (50%), on the other.