Luhansk Accepting Bids to Lead Manage Municipal Bond Issue

The Luhansk City Council has announced it will hold a tender for a lead manager of its municipal loan issue this year, and begin accepting bids on September 4. Luhansk, located in Eastern Ukraine, plans to issue its debut local bonds for about USD 5.8 mln total (a USD 2 mln issue with a 4-year tenor and another USD 3.8 mln issue with a 5-year tenor). The city had planned to offer the fixed income securities in September with a coupon payment of no more than 16%. S&P assigned the issue a long-term national currency rating of B, and a rating of UaBBB+ according to its national scale.