Ukreximbank redeems its eurobonds for $300 mln

The state-owned Ukreximbank (Kyiv) on November 10 redeemed its eurobonds maturing in 2022 for $84.047 million (at par) and maturing in 2025 for $215.948 million from available funds, the bank's press service said.

"Ukreximbank for the first time among Ukrainian issuers of eurobonds carried out a proactive operation of managing obligations without the simultaneous placement of a new issue (cash-tender) … The redemption of bonds optimizes the price parameters of the bank's passive base and, accordingly, improves the structure of its balance" Chairman of the Board Yevhen Metsger said.

The redemption price for 2025 eurobonds amounted to 104.5% at par, and for 2022 eurobonds to 103.75% at par.

Goldman Sachs International was the dealer manager of the deal.

As reported, the holders of 2025 eurobonds, according to the offer made by the bank on October 26, offered to redeem these bonds from them for $372.689 million, and the bank decided to proportionally satisfy their applications for a total of $215.948 million with the initially announced maximum for the redemption of these bonds for $200 million.

Thus, 2020 eurobonds were offered for redemption for $84.047 million with the announced maximum of their redemption at $100 million, all of them were satisfied.

According to the bank's offer, the acquisition of 2025 eurobonds was given higher priority than 2022 eurobonds.

Ukreximbank was established in 1992, the sole owner is the state.

According to the National Bank of Ukraine, as of October 1, 2020 Ukreximbank ranked third in terms of total assets (UAH 226.634 billion) among 74 banks operating in the country.

Source: www.en.interfax.com.ua