A total of 193 bids worth over RUB 7.7 billion were received. The rates on the bids varied between 13% and 16.50% p.a. The issue therefore has been fully subscribed.
The issue arranger is Raiffeisenbank, with leading co-arranger Sberbank of Russia, co-arrangers MKB Bank, Promsvyazbank and UniCredit Bank. The underwriters are VBRR and Bank Zenit.
Offered at par, the two-year bonds were placed by Acron for a total of RUB 3.5 billion. The coupon is to be paid semi-annually at a rate of 14.05% p.a. for the first four coupons; further coupon rates will be set by the issuer at a later date. The issue has a two-year put option exercisable at par value.
The Group will use the proceeds from the bond offering for debt restructuring and working capital financing.
Oscar Valters, Acron’s vice-president for finance, commented: “The well-timed offering and professionalism of the issue arranger underpinned investors’ interest. The bond issue will allow us to optimise our debt portfolio as we increase the share of rouble-denominated debt and reduce our foreign exchange exposure. In addition, a certain portion of the proceeds will be used to repay our short-term bank loans, which will remarkably strengthen the liability side of Acron’s balance sheet.”
Oleg Gordienko, Raiffeisenbank deputy head for corporate financing and investment banking: “Acron’s successful offering is a good sign for the market in general and is still further proof of the Group’s solid credit profile.”