Page 111 - RusRPTSept22

Gazprombank said that the Polyus placement took place with the active participation of Russian retailers. According to Dmitry Monastyrshin, chief analyst at PSB, the yield on Polyus bonds implies a premium to the yield on China's five-year government bonds in yuan in the amount of 140 bp.
Both companies borrowed on terms that were noticeably better than they could have expected if they had placed securities on a foreign market, according to Kommersant. The yuan bonds of the likes of Goldman Sachs or HSBC are traded on the global market with the same yield of 3.8-4.2% pa.
Russian diamond mining giant ALROSA has paid coupons on two $500mn Eurobond issues in rubles, the company said in a statement late on Wednesday. ALROSA had to use the ruble payment mechanism to redeem its liabilities on the bonds maturing in 2024 and 2027 as the EU, the US, and the UK imposed sanctions on the company.
Russian gold producer Polyus has capped the coupon guidance for at least 3.5bn Chinese yuan of 5-year exchange bonds by 4.2% annually, a financial source told PRIME on Tuesday. The issue carries semiannual coupons. The technical placement was preliminarily scheduled for August 30. Gazprombank, Bank DOM.RF, Bank Zenit, Credit Bank of Moscow, brokerage company Region, Russian Agricultural Bank, and Tinkoff Bank act as the organisers of the placement.
Two of the world's largest coal and fertiliser companies formerly controlled by Russian businessman Andrey Melnichenko requested bond interest payment freezes on August 16, blaming the impact of sanctions and Russia's retaliatory capital measures.
SUEK, Russia's largest coal firm and among the top 10 in the world, asked holders of its $500mn 2026 bond to postpone all interest payments until the bond's maturity date having already run into difficulties making them.
EuroChem, which is registered in Switzerland but whose largely-Russian operations produce roughly 5% of the world's fertilisers, made a similar request on its $700mn 2024 bond.
In nearly identical regulatory filings on Euronext Dublin, the companies said the rationale for the requests were the West's sweeping financial sanctions as well as Russia's retaliatory measures that restrict firms from making certain payments to international investors.
Several major Wall Street banks have begun offering to facilitate trades in Russian debt in August, according to bank documents seen by Reuters, giving investors another chance to dispose of assets widely seen in the West as toxic.
111 RUSSIA Country Report September 2022 www.intellinews.com