Ukraine authorizes circulation of Canada's Ukraine Sovereignty Bond

MOSCOW. Jan 26 (Interfax) - The Ukrainian National Securities and Stock Market Commission has authorized the circulation in Ukraine of the five-year C$500 million Ukraine Sovereignty Bond (ISIN CA135087P733) issued by Canada (about $373.4 million), the proceeds from which have been transferred to Ukraine in the form of a loan.

The commission made the decision at its meeting on Wednesday, Ukrainian media reported with reference to the commission's website.

The Canadian government reported earlier that the issuance received strong demand from both Canadian and foreign investors, with a total book order of over C$500 million, and resulted in a semi-annual interest payment of 3.245%. The payments will be made twice a year, i.e. on February 24 and August 24, and the bond will mature on August 24, 2027, when Ukraine celebrates Independence Day, "at which time bondholders will receive the full repayment of their initial investment," it said.

According to information from the Frankfurt Stock Exchange, the bonds are currently trading at 101.285%.