OREANDA-NEWS. The order book was closed for the purchase of the government bonds of the Komi Republic. The RUB 10.1 bln bond issue (government registration number RU35011KOM0 from May 28, 2014) has a maturity of 2,001 days and quarterly coupon payments.

Book building took place at the placement price. The guidance range for the placement price was 100.0-100.5% of the nominal value of the bonds, with each bond costing 1,000 roubles. The initial yield to maturity guidance was set at 11.66-11.88% annually and was reduced three times. The final yield range was 11.02-11.23% annually, which corresponds to a price of 101.50-102% of the nominal value.

The bonds have an amortised repayment structure: 25% of their nominal value will be redeemed on the date of payment of the 7th and 9th coupons, 20% – on the date of payment of the 13th and 17th coupons, and 10% – on the date of payment of the 22nd coupon.

During book building, 95 investor bids were received. Total demand exceeded the nominal volume of the issue by 4 times and amounted to RUB 40 bln. The issuer decided to accept 60 bids to a total of RUB 10.3 bln. The placement price was set at 102% of the nominal value of one bond.

The technical placement of the issue is planned for June 5, 2014 and will take place on the MICEX.

Organisers: Sberbank CIB[1], VTB Capital, and Gazprombank.