Ukraine returns to plans on placing, buying back eurobonds postponed in early July amid resignation of NBU head
Ukraine has returned to plans of placing new eurobonds and buying back those in circulation that the country had postponed in early July amid the resignation of the National Bank's governor.
A source in banking circles told Interfax that a conference call with investors will take place on Wednesday, following which the country could issue dollar-denominated eurobonds maturing in March 2033. Meanwhile, Ukraine plans to announce on July 23 the buyback of eurobonds of up to $750 million maturing in 2021 and 2022.
The organizers are the same as for the deal canceled in July - Goldman Sachs and J.P.Morgan.
This is 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%.
The bid book was closed, and according to the organizers' information, settlement was due to take place on July 8.
However, on the evening of July 1, there was information that Governor of the National Bank of Ukraine (NBU) Yakiv Smolii submitted his resignation to the Ukrainian president due to what he described as systematic political pressure that had been exerted on the central bank for a long time.