Russia’s ROSSELKHOZBANK (Moscow) has fully placed SFr375 million in first-issue Eurobonds with an interest rate of 3.583% and maturity in 2010. DRESDNER KLEINWORT and UBS acted as lead managers and organisers on March 7, 2007. This was the first Swiss-franc-denominated public offering in Russia. The ’A3/BBB+’ rating has been awarded to placed securities. Despite fluctuating market conditions, ROSSELKHOZBANK has made good increasing the size of the deal from the originally planned SFr200m to SFr375m and placed securities at a price lower than it had planned. The loan won a considerable support of Swiss investors who ranked as follows: asset managers (36%), banks (36%), insurance companies (16%), pension funds (7.0%) and other legal entities (5.0%). Swiss francs were chosen to expand the investor base and the range of issued instruments with diversified currencies and to reduce the cost of funds drawn.
Source: BANKI.RU, March 12, 2007
