Vneshprombank Implements Offer to Buy Back BO-1-Series Bonds
OREANDA-NEWS. January 30, 2013. Vneshprombank successfully implemented an offer to buy back series-BO-01 interest-bearing inconvertible bearer bonds with obligatory centralized storage. It is worth noting that investors' confidence in Vneshprombank's reliability and financial stability is reflected in the extremely low number of market participants who wanted to retire their bonds. The requirement to retire the bonds was requested by slightly more than 10% of bondbearers (for 347,819 bonds). The rest of bonds remain circulating on the market after the coupon retirement for the next two coupon periods was set at the level of 11.75% per annum.
Additionally, about one-third of the bonds presented for buyback were sold on the open market by the session closure. These figures prominently evidence high market-player confidence in Vneshprombank and its securities. It is worth remembering that Vneshprombank's bonds were included in the Lombard list, which allowed investors - lending institutions - to use Vneshprombank's bonds as a security for Bank of Russia credits and make repo deals against the Central Bank. Vneshprombank was founded in July of 1995. Currently, the bank has over 70 sales points in Russia.
The bank is included in the endowment insurance system. In 2012 Standard & Poor’s credit agency confirmed Vneshprombank's long-term international credit rating of 'B.' The forecast is stable. The national credit rating is RuA-. The short-term counterparty credit rating was confirmed to be C. Moody’s agency assigned Vneshprombank a depositary credit rating in the national currency at the level of B2. The national credit rating assigned by Moody`s Interfax Rating Agency is Baa1.ru. The short-term depositary rating in foreign currency was confirmed at the level of Not Prime, and the financial stability rating at the level of Е+. The forecast for all ratings is stable. As of Q3 2012, Vneshprombank is in 48th place by the amount of assets in the Interfax 100 ranking by Interfax CEA.
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