Page 50 - UKRRptNov21

Standard & Poor’s (S&P) rates both Ukraine’s foreign and local debt at B-
with stable outlook.
S&P last upgraded Ukraine’s rating from Caa2 (positive) in August 2017. The rating nadir was Ca (negative) awarded in March 2015 following the Maidan events. Its zenith was B1 (positive) awarded in August 2008 at the apex of the region-wide boom.
8.5 Fixed income
8.5.1 Fixed income - bond news
Ukraine's electricity transmission system operator National Power Company Ukrenergo (NPCUKR) completed on November 2 the pricing of $825mn of green/sustainable bonds guaranteed by the government. The bonds are issued for five years at the coupon rate of 6.875%. The placement rate implies a 68 bps spread to yesterday’s Ukraine sovereign curve. Ukraine’s Cabinet issued a state guarantee for the bonds on October 11 for the amount of UAH22.8bn (about $870mn). The state guarantee was provided to allow the borrower to accumulate funds to repay Ukrenergo’s debt to the state company Guaranteed Buyer. Guaranteed Buyer should direct the money to repay its debts to green energy producers. As of the beginning of November, Guaranteed Buyer owed about UAH26bn to green energy producers, of which Ukrenergo owed about UAH25bn to Guaranteed Buyer, Concorde Capital calculates based on the company’s statistics.
Fitch Ratings affirmed long-term issuer default ratings for state-run Oschadbank percentage and Ukreximbank (EXIMUK) at B with a
50 UKRAINE Country Report November 2021 www.intellinews.com