...

Eurasian Development Bank places bonds in Kazakhstan

Business Materials 20 August 2014 14:31 (UTC +04:00)
Eurasian Development Bank (EDB) placed its tenge-denominated securities (KZP03Y05E380) in the amount of 20 billion tenge (182 tenge = $1) in Kazakhstan

Eurasian Development Bank places bonds in Kazakhstan
Baku, Azerbaijan, Aug.20

By Elena Kosolapova - Trend: Eurasian Development Bank (EDB) placed its tenge-denominated securities (KZP03Y05E380) in the amount of 20 billion tenge (182 tenge = $1) in Kazakhstan, the bank reported.
The placement was made Aug. 18 at the Kazakhstan Stock Exchange (KASE) through a special auction. The bonds have a coupon rate of 7.2 percent per annum, maturity period is five years.

The pricing conditions meet the requirements of the National Bank of Kazakhstan, which is an anchor investor in EDB bonds on behalf of the Single Accumulative Pension Fund, and the expectations of EDB itself, which plans to use the attracted money to increase its project portfolio.

"We hope that in the future the range of investors in our securities will expand and the conditions of funds attraction in the tenge will be predictable," Dmitry Krasilnikov, Deputy Chairman of the Management Board at EDB said.
The proceeds from this placement will be used to finance the bank's project operations in Kazakhstan.

In the framework of its first bond program, which totaled 150 billion in tenge in December 2012, EDB made placement of tenge-denominated bonds in the amount of 9.9 billion tenge, which will mature in 2017.

In April 2013, EDB registered its second bond issue within the first bond program totaling 40 billion tenge. The same month it made a successful placement of tenge-denominated bonds in the amount of 15 billion tenge, maturing in 2018. In October 2013, EDB made an additional offering of the second bond issue in the amount of 16.6 billion tenge. The current total value of the second issue is 31.6 billion tenge.

Eurasian Development Bank is an international financial institution founded by Russia and Kazakhstan in January 2006 with the mission to facilitate the development of market economies, sustainable economic growth and the expansion of mutual trade and other economic ties in its member states. EDB's charter capital exceeds $1.5 billion. The member states of the bank are Armenia, Belarus, Kazakhstan, Kyrgyzstan, Russia, and Tajikistan.

Edited by C.N.

Tags:
Latest

Latest