Domodedovo airport proposes adjustment to Eurobond terms

MOSCOW, Mar 4 (PRIME) -- DME Limited, the owner of Moscow’s Domodedovo airport, has suggested that holders of its 2021 and 2023 Eurobonds consider extending the net debt to Earnings Before Interest, Taxation, Depreciation and Amortization (EBITDA) ratio limit to 4.1x from the current over 3.1x until November 11, 2021, it said in a statement on Monday.

DME Limited’s net debt to EBITDA ratio grew due to ruble volatility. Net debt grew significantly in nominal terms in 2018 although the debt declined in real terms.

The company wants to issue ruble-denominated bonds to reduce the impact of the volatility and balance its long-term debt structure. The funds raised from the bonds are to be used to repay the debt in foreign currency, but may also be used for general corporate purposes.

The offer envisages a premium of U.S. $7.5 per bond for early approval before March 15 and $2.5 per bond for approval before March 25. A meeting with the holders is scheduled for March 27.

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