Corporate Communications

VTB Capital successfully places offshore CNY 1bn VTB Bank Eurobond issue at 2.95% p.a.

10 December 2010

VTB Capital has successfully placed offshore CNY 1bn VTB Bank Eurobond issue. The coupon is set at 2.95% per annum with a tenor of 3 years. The book was substantially oversubscribed, allowing the issue to be placed significantly below initial price guidance.

This is the first ever CNY Eurobond placement by a Russian issuer. The demand was driven by Asian investors (90%). Over 50% of the book came from Hong Kong and over 30% from Singapore. Investors were mostly represented by fund managers (50%), as well as private banks (30%).

Andrey Solovyev, Global Head of DCM at VTB Capital, said: “In 2010, VTB Capital took part in a number of landmark transactions – Sovereign Eurobond placements for Russia and Ukraine, Russian Railways Eurobond, VTB Bank Eurobond in Singapore dollars. Yuan-nominated Eurobond placement is a unique inaugural deal for our market. I believe this transaction will generate interest from other Russian issuers”.

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VTB Capital

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