The EDB successfully places a debut issue of five-year Eurobonds for a total of EUR 300 million for the first time since 2013
Moscow, 11 March 2021. On 10 March 2021, the Eurasian Development Bank (EDB), a leading multilateral development bank in the region, successfully placed a debut issue of five-year Eurobonds for a total of EUR 300 million, with a coupon of 1 per cent (yield to maturity 1.2 per cent).
The demand for the Eurobonds exceeded EUR 1 billion during book building on 10 March and approximated EUR 850 million by the time the final rate was announced. The initial benchmark yield was set at 1.5 per cent but was then lowered to 1.25–1.375 per cent. The issue has attracted a wide range of international investors, which are new for the region the Bank invests in. The participants in the issue included investors from Austria, Germany, Denmark, Spain, Italy, France, Switzerland, as well as Russia, Kazakhstan, Eastern Europe, and the Middle East.
“The deal has become the EDB’s first Eurobond issue since 2013 and marks the Bank’s successful return to international debt capital markets. Meetings with international investors who regarded this deal as an opportunity to invest in Eurasia focused on establishing long-term relationships. The Bank plans to use the funds from the issue to finance its projects in the EDB member countries,” said Nikolai Podguzov, Chairman of the EDB Management Board.
The issue is another step in the Bank’s consistent efforts to diversify its funding sources. It made it possible for the EDB to start building a euro benchmark in international capital markets.
Additional Information:
The Eurasian Development Bank (EDB) is an international financial institution promoting integration and development in its member countries – Armenia, Belarus, Kazakhstan, the Kyrgyz Republic, Russia, and Tajikistan. The EDB's charter capital totals US $7 billion. The Bank was established in January 2006 by Russia and Kazakhstan and is headquartered in Almaty. Transport infrastructure, energy, chemical, mining, and mechanical engineering projects with a high integration effect account for the main part of the EDB’s portfolio.
The EDB Media Centre:
Alexander Savelyev +7 (985) 765 23 59 (Moscow)
Azima Sapargaliyeva +7 (777) 750 00 08 (Almaty)
Sergey Gorbachev +7 (916) 727 22 00 (Moscow)