OREANDA-NEWS. On February 7 the order book for series 06, 07, 08 and 09 certificated non-convertible interest-bearing bonds of JSOC Bashneft (with the par value of 10 billion roubles, 10 billion roubles, 5 billion roubles and 5 billion roubles respectively) was closed. All series of bonds have a maturity of 10 years. Series 06 and 08 bonds have a put option after five years, while series 07 and 09 bonds have a put option after seven years.

Book building started on February 4, 2013; the indicative coupon range for series 06 and 08 bonds amounted to 8.50–8.70% per annum, while for series 07 and 09 bonds it was set at 8.70–8.95% per annum. The investors’ demand narrowed the initial ranges from 8.50–8.70% to 8.50–8.65% per annum for the 5-year put option bonds and from 8.70–8.95% to 8.70–8.85% per annum for the 7-year put option bonds.

Investors placed 45 orders for series 06 and 08 bonds with the coupon rate ranging from 8.50% to 8.70% per annum, and for series 07 and 09 bonds with the coupon rate ranging from 8.70 to 8.94% per annum. During the marketing within the initial coupon range, the total demand exceeded 35 billion roubles.

Considering the current situation in the market and the manifested demand for the placed bonds, Bashneft decided to set the coupon rates for series 06 and 08 bonds at the level of 8.65% per annum, and the rate for series 07 and 09 bonds was set at 8.85% per annum.

‘We are satisfied with the investors’ interest in the Company’s securities. Successful placement of 5-year put option and 7-year put option bonds proves that Bashneft is a reliable borrower in the capital market,’ commented Alexey Kurach, the Vice President for Economics and Finance.

The settlements related to the placement of series 06, 07, 08 and 09 bonds will be made on the MICEX Stock Exchange on February 12, 2013.

OJSC Gazprombank is the lead arranger and placement agent, while CJSC UniCredit Bank is the co-arranger, and Region Group acts as an underwriter.