OREANDA-NEWS. November 26, 2010. Probusinessbank, one of Russia's forty largest banks by assets together with its six daughter banks, announced the successful issuance by PBB LPN Issuance, a Cypriot-based company, of a USD50 million subordinated tranche under its USD750 million Loan Participation Note program, reported the press-centre of Probusinessbank.

The issue has an 11.75% coupon and a 5.5-year tenor. Mikhail Zavgorodniy, Vice President of Probusinessbank, noted: "We are satisfied with debut placement of subordinated Eurobond. Despite volatile macro economic environment investors demonstrate confidence in Probusinessbank and our business model."

The money raised by the issuance will be on-lent by PBB LPN Issuance to Probusinessbank and will help fund the bank's growth by supporting capital adequacy metrics. The arranger was BCP Securities LLC, a US-based boutique investment bank specializing in emerging markets fixed income securities.  BCP Securities' President Randall Pike stated: "We are very proud to have completed our 11th transaction with Probusinessbank.  This is our first subordinated tranche with the bank and having successfully placed the five-and-a-half year issuance in these challenging markets marks our institutional investors' long-term confidence in Probusinessbank."