18:42 GMT07 August 2020
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    Russia's Finance Ministry said Tuesday it had placed two tranches of sovereign Eurobonds for 10 and 30 years with the total volume of $3 billion dollars.

    Gazprom office building
    © Sputnik / Mikhail Voskresenskiy
    MOSCOW (Sputnik) — The ministry placed the issue of Eurobonds with a repayment in 2027 worth $1 billion with a rate of semi-annual coupons at 4.25% per annum and an issue with repayment in 2047 worth $2 billion with semi-annual coupons of 5.25% per annum.

    The safekeeping of the securities will be carried out by Russia's National Settlement Depository (NSD).

    Earlier on Tuesday, a banking source told Sputnik that the demand for the issued eurobonds reached about $6.6 billion.

    Russia's Finance Ministry started placing the eurobonds on Monday through the infrastructure of the Belgian-based Euroclear company and the NSD with VTB Capital, the investment unit of the Russian VTB Group, acting as the placement organizer.

    In 2017, the ministry plans to place a total of $7 billion in eurobonds including the exchange of some securities of the previous issues for the new ones worth $4 billion after this week's issue.

    A eurobond is an international bond which is denominated in a currency other than the home currency of the country or market in which it is issued. The member states of the eurozone collectively guarantee the eurobond debt.

    Related:

    Several Russian Companies May Issue Eurobonds Before August
    High in Demand: Why Foreign Investors Want to Buy Russian Eurobonds
    Foreign Investors Buy Over 70% of Russian Eurobonds - Finance Minster
    Tags:
    Eurobonds, Russian Economy Ministry, Russia
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