Ukraine issues 2Y USD 1 bln Eurobond to refinance VTB loan

Ukraine’s Cabinet of Ministers approved of issuing a USD 1 bln Eurobond, with a coupon rate of 7.95% paying semi-annually, according to a website announcement yesterday. The bond is due on June 4, 2014. Bond parameters fully correspond to the preliminary agreement with VTB Bank to refinance USD 1 bln in debt. Ukraine repaid half of a USD 2 bln VTB loan on June 6, and agreed to refinance the remainder with this new Eurobond.