EDB Closes Order Book for Series 02 Bonds

The Eurasian Development Bank’s (EDB) order book for Series 02 bonds, with a total par value of 5 billion roubles and a 3-year put option, was closed on 28 February 2012. The issue matures in seven years.

Investors placed 54 orders for the bonds, with a coupon ranging between 8.50% and 9.25% p.a. The order book totalled 15,272 million roubles.

As a result of marketing, the coupon for Series 02 bonds was set at 8.50% p.a.

With the market situation, offering price, coupon and demand taken into account, the EDB decided to accept 15 orders for the bonds.

The transaction will be settled at MICEX on 1 March 2012.

«We managed to choose the right moment to enter the market, may be the best one this year. This made it possible for us to collect a good order book, with a small, yet comfortable oversubscription at the coupon’s minimum. We appreciate the professional work of our arrangers,» Dmitry Krasilnikov, Member of the EDB Executive Board and Managing Director for Corporate Finance, said.

The deal has been arranged by VTB Capital, VEB Capital, Raiffeisenbank, RONIN, and Troika Dialog. The co-arranger was Uglemetbank.

Additional Information

The Eurasian Development Bank (EDB) is an international financial institution with the mission to facilitate economic growth in its member states, the expansion of trade and other economic ties between them and the development of integration processes in Eurasia.

The Bank was founded under an interstate agreement signed on 12 January 2006 by authorised representatives of the Russian Federation and the Republic of Kazakhstan. The idea to establish the Bank was proposed by the presidents of Russia and Kazakhstan.

The Bank’s proactive work in Eurasia made it practically possible for other states to become its members. The Republic of Armenia joined the EDB in April 2009, the Republic of Tajikistan in June 2009, the Republic of Belarus in June 2010 and the Kyrgyz Republic in August 2011. These countries have fulfilled all the procedures to join the Bank and become its fully-fledged members.

The Bank finances investment projects in its member states for a total of almost US $2.6bn. It also expands its loan portfolio and the range of products. International rating agencies rate the Bank at the level of the sovereign ratings of its founder states or higher.

https://www.eabr.org