Metinvest announces early tender results for its 2023 bonds

Metinvest (METINV), Ukraine’s largest steelmaker, was
tendered USD 639.4 mln of its METINV’23 notes by the early deadline for
purchase under the tender offer announced on Sept. 17,
according to the holding’s Oct. 1 release.

Recall, the maximum amount Metinvest intends to
purchase is USD 440 mln, and the offer will expire at 11.59pm New
York City time on Oct. 15. The pricing of the new notes, which Metinvest
intends to issue to finance the purchase, might be announced any time now. The
deal’s completion is contingent upon Metinvest placing its new notes on
satisfactory terms, as determined in Metinvest’s sole discretion.

The indicative yield to maturity pricing for the new
Metinvest notes is 7.75-7.99% for 10-year USD-denominated notes and 5.75% for
5-year, EUR-denominated notes, Bloomberg reported on Oct. 1.

Dmytro Khoroshun: The pricing
of Metnvest’s new bonds will likely be acceptable to the holding, and the deal
has solid chances of being completed.

We maintain our bullish view on METINV bonds.