In March 2015 SOCAR plans to issue Euro bonds

In March 2015 SOCAR plans to issue Euro bonds, SOCAR President Rovnag Abdullayev told journalists.

“We plan to issue Euro bonds till the end of March,” he said and added that this is connected with the reduction of oil prices.

The third issues of SOCAR’s Euro bonds will be organized by Deutsche Bank and JP Morgan. The volume of issue is still unknown.

The road-show or talks with the investors will take place in mid-March 2015.

SOCAR has already had two issues of bonds. The first issue to the amount of $500 million with the profitability of 5.45% and repayment in February 2017 took place in 2012 and the second placement took place in March 2013 at the CEEMEA market (Central and Eastern Europe, Near East and Africa) to the amount of $1 billion for the period of 10 years (with the profitability of 4.75%). The demand in the bonds exceeded the volume of issue by three times.

The first placement of sovereign Euro bonds with 5% interest rate and repayment of the loan in 2024 to the amount of $1,250 billion took place on March 10, 2015.

The second issue of SOCAR’s Euro bonds was placed using Deutsche Bank with the profitability of 4.75% and at present interest rate of bonds is 5.8% per annum. Over $3 billion has been already attracted at the expense of this deal.—0—‘