Kazakhstan, Astana, July 4 /Trend D.Mukhtarov/
Kazakhstan Railways has held the successful placement of a new Eurobond issue on the London and Kazakhstan Stock Exchanges worth $800 million with a maturity of 30 years at a rate of 6.95 percent per annum in the Reg S/144A format.
The company held a roadshow for the U.S. and Europe investors. The initial price parameters of the issue are at the "low seven percent" aroused considerable interest among institutional investors. Fee application was closed at the lower threshold for reduced-price
range as a result of the transaction. The final order book amounted to $ 5.2 billion from more than 250 investors.
This issue has fixed record length of maturity of corporate issuers in the post-Soviet space, and is a major issue in terms of the transaction with a maturity of 30 years from the region of Kazakhstan and the countries of Central and Eastern Europe, the Middle East and Africa since 2008. Placement of Kazakhstan Railway also has the lowest rate of return achieved by the corporate issuer in the issuance of the CIS with a maturity of 30 years.
The success of the Eurobond placement emphasizes high levels of the company's image among investors achieved through company's development strategy for the medium and long-term period, stable financial position and high level of corporate governance.
This funding has been attracted for the implementation of the Kazakhstan Railways investment program.