Gazprom has placed bonds in USD and EUR 2.6 billion. USA

Moscow, 26 Okt – news Agency Neftegaz.RU. Gazprom closed the deal on placement of perpetual Eurobonds in US dollars and euros, the result of which has attracted $ 2.6 billion. USA.
This was announced by Gazprom.

October 26, 2020, the closing of the transaction on placement of the debut issue of subordinated perpetual Eurobonds Gazprom – in US dollars and euros.
The result is 2^x issues the company raised in total in terms of US $ 2,575 billion. USA:

• 
  1.4 billion dollars. USA,
• 1 billion euros.

In issuing in U.S. dollars was attended by 220 investors in the issue in euros – 170.
Investor demand totaled more than $ 7.4 billion. The USA is a maximum rate for placements of Eurobond borrowing under Gazprom starting from 2013
The total volume of bids from foreign investors made up 80% of the total.
In the final book, investors were distributed as follows:

• continental Europe (33% to issue in U.S. dollars and 52% for release in Euro)
• United Kingdom (27% and 21%, respectively),
• United States (16% and 5%),
• Asia and other (4% and 3%),
• Russia (20% and 19%).

The structure of the deal allows Gazprom to turn bonds into equity according to international financial reporting standards (IFRS).
This will reduce the level of net debt and total net debt/EBITDA of the company.
Funds raised will be used for General corporate purposes 1^Yu turn, to refinance the current debt burden in compliance with all legal restrictions.
The decrease in borrowings is an important part of a package of Gazprom on increase of financial stability amid the difficult external environment on energy prices in 2020

Given the high interest of investors in hybrid instruments, Gazprom is studying the possibility of placing 1^th on the Russian market of issue perpetual subordinated ruble bond.