The owners of three issues of Eurobonds of Vimpelcom as part of the early enrollment filed for redemption of securities of $1,257 billion, the company said.
In particular, the issue maturing in 2018 with a rate of 9,125% presented paper $332,88 million (from $499 million in circulation), maturing in 2021 under 7,748% – $273,86 million ($650,57 million) maturing in 2022 at 7.5% – $650,68 million ($1.28 billion).
Thus, of the outstanding Eurobonds of those issues for a total of $2.43 billion to an early deadline, which provides more favorable conditions of redemption, brought little more than half.
The issue of the 2018 will be redeemed with a premium of 4% of face value, while holders who have applied for June 12, will receive a prize 7% – $1070 per $1000 denomination. Issue-2021 to be purchased at $1121,25 $1 thousand, the repurchase price with early enrollment – $1151,25. The price of the redemption of Eurobonds 2022, respectively $1126,25 and $1156,25.
The offer is valid till June 27.
In parallel Vimpelcom Holdings placing new Eurobonds in dollars. The benchmark yield 4-year tranche is 4-4,25%, 7-year-old is 5-5,5%, announced earlier Tuesday, a source in banking circles.
The company is willing to buy all presented within the framework of the offer of securities (subject to the placement of the new issue). The organizers of the ransom – Barclays, Credit Suisse and Merrill Lynch, agent Lucid Issuer Services.
Vimpelcom Holdings last placed Eurobonds in the spring of last year. The Eurobonds were issued by GTH Finance B. V., the company sold two tranches of Eurobonds totaling $1.2 billion with a significant demand from investors, which amounted to nearly $8 billion of Funds were raised for the repayment of corporate debt.
Vimpelcom Holdings is a 100% subsidiary of the Dutch VEON Ltd and includes the group’s businesses in Russia (JSC VimpelCom), Ukraine, CIS and Georgia, as well as in Asia (Laos and Cambodia). VEON is a global provider of telecommunications services headquartered in Amsterdam. Holding by 47.9% belongs to the “Alfa group” Mikhail Fridman and partners.
By the end of 2016 net debt/EBITDA at VEON (given the consolidation in July last year, the Pakistani operator Warid) was at level 2. Total net debt VEON was $7.1 billion In 2017 the holding company will have to repay liabilities of $2.9 billion, of which $1.1 bn – debt of the Russian “daughter” of JSC “VimpelCom”.