Yandex again reaches agreement with bondholders on extending redemption rights - now until July 6

MOSCOW. June 1 (Interfax) - Yandex has again reached an agreement with convertible bond holders to extend the timeframe during which bondholders will be able to demand redemption of securities, now until July 6, 2022, the company said in a statement.

Yandex had to obtain the permission of holders of at least 75% of the total nominal amount of the bonds in order to change the terms of the bond issue.

The issuer of the $1.25 billion convertible bonds with a 0.75% coupon is Yandex N.V ., registered in the Netherlands, and they were placed in February 2020.

At the end of February 2022, NASDAQ suspended trading in shares of companies with core businesses in Russia, including Yandex. Under the terms of the bond issue, holders have the right to demand redemption of the securities if the shares are not traded within five business days. In early March, the company announced the formation of a special bondholders' committee and began discussions on restructuring options.

It was initially envisaged that bondholders would be able to present the right to redemption until May 3, 2022, but at the end of April the company agreed to extend the deadline to June 7.

The company indicates that it continues to negotiate with the consultants of the special committee of bondholders, noting that "good progress" has been made in the negotiations.

Yandex management believes that it will be able to come to an agreement with the convertible bond holders on restructuring of liabilities, and if the agreements require cash payments - to obtain permission from the Russian authorities to transfer and convert the necessary funds from Russia, the company said in its Q1 financial report.