SOCAR (State Oil Company of Azerbaijan) plans to issue Eurobonds in March 2015, the president of the company Rovnag Abdullayev told reporters Mar.6, Reuters reported.
Abdullayev said SOCAR plans to issue Eurobonds by the end of March, explaining the decision with a decrease in oil prices.
The third issue of SOCAR’s Eurobonds will be organized by Deutsche Bank and JP Morgan. The issue volume is unknown for now.
It was earlier reported that SOCAR prepares to hold negotiations with investors.
SOCAR has already implemented two issues of Eurobonds. SOCAR’s Eurobond debut issue to the amount of $500 million with a yield of 5.45 percent per annum was made in February 2012. The maturity date of the primary Eurobond issue was set at February 9, 2017.
On March 11, 2013, SOCAR implemented its second issue of Eurobonds to the amount of $1 billion for 10 years with a yield of 4.75 percent per annum on the CEEMEA market (Central and Eastern Europe, the Middle East, Africa). The demand for them was three times more than the volume.
The debut sovereign Eurobonds with an interest rate of five percent and the loan repayment in 2024 were placed in the amount of $1.250 billion on March 10.
The second issue of SOCAR’s Eurobonds occurred with the help of Deutsche Bank with a yield of 4.75 percent. At present, the interest rate on the bonds is 5.8 percent per annum.
More than $3 billion have been already drawn due to this transaction.
