UPDATE 2: VEON sets 5-yr Eurobond coupon guidance at 6.3%

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MOSCOW, Jun 11 (PRIME) -- Amsterdam-based holding VEON, the sole owner of Russian mobile operator VimpelCom, has set the coupon guidance for 20 billion ruble 5-year Eurobonds denominated in rubles at 6.3% annually, a financial source told PRIME on Thursday.

The guidance was earlier decreased to 6.375% from 6.5%. The demand exceeded 30 billion rubles.

The bonds are issued by VEON’s unit VEON Holdings.

Alfa-Bank, Citi, Sberbank CIB, and VTB Capital are the organizers.

“During the transaction, the book was oversubscribed by 1.5 times, and its volume peaked at 30 billion rubles,” Andrei Solovyov, head of debt capital markets at VTB Capital, told PRIME.

He added that foreign investors, mainly from the U.K. and continental Europe, actively participated in the deal.

“The deal has become a debut sale of ruble-denominated Eurobonds for a foreign issuer. Success of the transaction also rooted in a well-organized marketing campaign, held via a virtual road-show,” Solovyov said.

(68.6183 rubles – U.S. $1)

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