X5 to Issue RUB15bn in Bonds
OREANDA-NEWS. June 18, 2010. X5 announced plans to register three bond issues for a total of RUB15bn., reported the press-centre of OTKRITIE Financial Corporation.
View: The new bond issues will allow the company to restructure its debt and thus eliminate concerns regarding the refinancing of its short-term debt. X5's short-term debt was RUB45bn (85% of total debt) as of 31 March 2010. The new bonds will help refinance about a third of that amount.
Valuation and Action: The stock trades on a 2010 EV/EBITDA of 10.0x, which is a 26% discount to EM peers and a 23% discount to Magnit.
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