Ukraine to buy back 2021 and 2022 eurobonds for $846.2 mln at expense of 2033 eurobonds
Ukraine, through a new issue of eurobonds for $2 billion maturing in 2033, will buy back eurobonds for a par amount of $434.819 million and $371.341 million maturing in 2021 and 2022 respectively at a price of 104.5% and 105.5% of par value.
According to a report on the website of the Irish Stock Exchange, the total amount of payments will be $846.151 million.
According to the report, the date of settlement for 2021 and 2022 eurobonds is set for July 28, for 2033 eurobonds for July 30.
Initially, in the announcement of the exchange on July 22, Ukraine indicated $750 million as the indicative total volume of the buyback.
According to the statement, 2021 bonds worth $1.409 billion and 2022 bonds worth $1.384 billion were outstanding prior to the buyback.
Ukraine placed the 2033 bonds at 7.25% per annum according to preliminary information, but the official results have not yet been announced. Goldman Sachs and JP Morgan organized the new offering.
This was Ukraine's second attempt at placing dollar-denominated eurobonds in a month. The country's previous eurobond offering took place on July1, investors were offered a 12-year issue. The final placement volume was supposed to come to $1.75 billion, and the final yield rate was set at 7.3%. But the deal was called off at the last minute due to the National Bank governor's resignation.
Ukraine has succeeded in borrowing more at a lower rate at the second attempt.