SOCAR removes Eurobond issue from the agenda in 2014
Baku, Azerbaijan, March 18
By Emin Aliyev - Trend
The issue of another Eurobond placement by SOCAR in 2014 is irrelevant, SOCAR Vice President for Economic Affairs Suleyman Gasimov told Trend on March 17.
"The company expects to issue bonds with a longer repayment period of 30 years," he said. "Moreover, the debut placement of Azerbaijan's sovereign bonds has recently taken place, so we are currently examining the market."
"The preparation process takes a long time and therefore it is too early to speak about the term and volume of the next placement," he said.
"These parameters will depend on the results of market monitoring and the company's need for financial resources," Gasimov added.
SOCAR's Eurobond debut issue worth $500 million with a yield of 5.45 percent per annum was made in February 2012. The maturity date of the primary Eurobond issue was set at February 9, 2017.
On March 11, 2013, SOCAR placed Eurobonds to the amount of $1 billion for 10 years with a yield of 4.75 percent per annum on the CEEMEA market (Central and Eastern Europe, the Middle East, Africa). The demand for them is three times higher than the volume.
The debut sovereign Eurobond placement with an interest rate of five percent and loan repayment in 2024 was held on March 10 to the amount of $1.250 billion.
Translated by NH
Edited by SM