Azernews.Az

Azerbaijan’s state energy firm Socar has completed placement of its Eurobonds worth $500 million at the London Stock Exchange.

The Eurobonds were of great interest among investors. The volume of orders submitted by 290 investors totaled $4.6 billion.

The yield of the Eurobond issue will be 5.45 percent per year. The maturity date of the primary Eurobond issue is set for 2017.

The issuers are the Royal Bank of Scotland (RBS), Citibank and Deutsche Bank. Nomura International Plc. and Societe Generale Corporate and Investment Banking are the managers for the issuance.

46 percent of the bonds were acquired by investors from Britain, while 38 percent – by those from other European countries. US offshore investors hold 12 percent and Asian investors 4 percent.

As a result of the placement, 63 percent of the securities are owned by fund managers, 16 percent – by banks, 11 percent by insurance companies and retirement funds, and 10 percent by hedge funds.

Socar’s Eurobonds have been assigned ratings of BBB- by Fitch and Ba1 by Moody's.

Long-term corporate rating of Socar was defined by Fitch as BBB- ("stable" outlook), by S&P as BB + ("stable" outlook) and by Moody's as Ba1 ("stable" outlook).