VTB Capital has successfully placed a RUB 6bn CJSC “Sukhoi Civil Aircraft” Series BO-02 and BO-03 bond issue, with coupons set at 7.50% per annum and 8.25% per annum respectively.
Initially, investors were offered two Series bond issues of a 3-year tenor worth RUB 3 bn each. Coupons were set at 8.10 – 8.30% per annum with a one-year option for Series BO-02 and 9.00 – 9.20% per annum with a two-year option for Series BO-03.
The transaction attracted considerable demand, with bids for Sukhoi Civil Aircraft’s bonds from over 80 investors, meaning the placement was five times oversubscribed. As a result of this high demand for the bonds, which arose during the marketing campaign, VTB Capital was able to decrease the coupon rate significantly.
Alexey Konochkin, Deputy Head of DCM at VTB Capital, said: “We are very satisfied with the results of this placement. We successfully attracted a wide range of investors and were thus able to place the bonds at coupon rate that was significantly lower than indicated”.
VTB Capital arranged the bonds placement along with the support of Otkrytie Bank.