Zakhidenergo to Issue USD 49.5 mln in Local Bonds
15 February 2008
According to Interfax, Zakhidenergo (ZAEN: HOLD) confirmed its previously announced plans to issue UAH 250 mln (USD 49.5 mln) in local bonds. The bonds will have a coupon of 12% and will be issued in two series. The proceeds will be directed at reconstructing the Burshtyn power plant. Alexander Paraschiy: The company initially planned to issue local bonds in two series: UAH 120 mln (USD 23.7 mln) in October 2007, and UAH 130 mln (USD 25.7 mln) in April 2008. But in September the company announced it postponed the bond issues. We expect the company will issue at least half of the bonds by the start of summer when power plants usually start their repair/reconstruction projects.
