Zug, Switzerland, 11 April 2016 – EuroChem Group AG (“EuroChem”, “Group” or “Company”), a leading global agrochemical company, today announces that its EuroChem MCC subsidiary has completed the placement of a RUB 15bn bond issue priced at 10.6% per annum. The bond, which is guaranteed by EuroChem Group AG, has a maturity period of 3 years with semi-annual coupon payments.
The bond placement received strong investor demand with the bond book almost twice oversubscribed. The strong investor interest allowed the final coupon rate to be priced at the lowest initial marketing range of 10.60-10.85%.
EuroChem plans to use the proceeds of the bond issue for refinancing part of its short-term debt and for general corporate purposes.
Andrey Ilyin, EuroChem CFO, commented: “We are delighted to complete another successful rouble bond placing with an attractive pricing. This further demonstrates the strength of EuroChem’s reputation in the market and investors’ confidence in our operations.”
EuroChem Deputy Finance Director Alexander Gavrilov added: “We are very pleased to make such a successful return to the Russian bond market. This placement, EuroChem’s first since 2010, amidst what can be described as a challenging backdrop, attracted a lot of investor demand at competitive pricing terms. It is in times like these that long-standing banking relationships, such as with Sberbank and Rosbank, add tangible value”.
The bond will be admitted to trading on the Moscow Stock Exchange (MOEX) from 19 April 2016 and will be included in the Lombard List of the Central Bank of Russia.
Rosbank and Sberbank CIB acted as joint bookrunners.
About EuroChem Group AG
EuroChem is a leading global agrochemical company producing primarily nitrogen and phosphate fertilizers, as well as certain organic synthesis products and iron ore. The Group is vertically integrated with activities spanning from mining and hydrocarbons extraction to fertilizer production, logistics, and distribution. EuroChem is currently developing two sizeable potash deposits in Russia with its VolgaKaliy and Usolskiy Potash greenfield projects. Headquartered in Zug, Switzerland, the Group operates production facilities in Belgium, China, Kazakhstan, Lithuania, and Russia and employs more than 23,000 people globally. For more information, please visit www.eurochemgroup.com or contact:
Head of Investor Relations