OREANDA-NEWS. On July 20, 2007 FundServiceBank and the investment company KapitaL arranged second corporate bonds issue of Motorostroitel-Finance, the SPV-company of OAO Motorostroitel, reported the press-centre of FundServiceBank.

Motorostroitel, based in Samara (Volga region) is producer of aircraft and rocket engines, equipment for power stations and gas pipelines. The government owns 38 per cent of OAO Motorostroitel shares.

Observers noted an ‘aggressive onrush‘ at the bond sale session of the issue day. The demand, with 77 bids, for the Motorostroitel-Finance bonds at the MICEX trading floor on the issue day almost twice    exceeded the offer, so, the RUR 1 billion (~ $ 39,5 million) bond issue was fully sold within a few hours.

Six-coupon RUR-nominated bonds should circulate within three year maturity period. Coupon interest income shall be paid every 6 months (182 days). Interest rate for the first coupon at the end of session  was fixed at 10 per cent level.

Underwriters of the offering were Russian banks and investment companies – among them Alfa, VTB-24, Intermational Moscow Bank, Nomos, Soyuz, Uralsib.

This was the second issue  arranged by FundServiceBank for Motorostroitel-Finance, the debut issue took place in the spring  2006.