Bonds
Eurobonds:
In 2002-2003 PJSC MMK made two issues of Eurobonds for an amount of EUR 100 million with a 3-year maturity, and USD 300 million with a 5-year maturity, respectively. The lead manager of the first Eurobonds’ issue was Deutsche Bank, with LLC IC MMK-Finance and PJSC ROSBANK acting as financial advisers. For the USD 300 m issue PJSC MMK engaged ABN Amro and UBS Investment Bank as lead managers, the Bank of New York as the main paying agent and LLC IC MMK-Finance and PJSC ROSBANK as financial advisers.
To date, all these Eurobond issues have been redeemed.
On 13 June 2019, PJSC Magnitogorsk Iron & Steel Works placed a 5-year USD 500 mln guaranteed Eurobond with an annual rate of 4.375% payable semi-annually.
Regulation S notes ISIN: XS1843434959, Rule 144A notes ISIN: US553142AA88.
Citi, J.P. Morgan and Société Générale acted as the Joint Lead Managers and Joint Bookrunners.
The Eurobonds were issued by MMK International Capital D.A.C., an Irish company.
Citibank N.A. was appointed Trustee and Principal Paying Agent for the issue.
The Eurobonds were assigned credit ratings of BBB by Fitch Ratings Limited and Baa2 by Moody’s Investors Service Ltd.
Corporate Ruble-Denominated Bonds:
PJSC Magnitogorsk Iron and Steel Works has made 17 issues of corporate ruble-denominated bonds for a total amount of RUB 2.9 billion in 2000-2003. LLC Investment company MMK-Finance and PJSC ROSBANK have been acted as underwriters of the issues. To date, the series 01-17 issues have been redeemed.
In August, 2012, the Board of Directors of PJSC MMK made a decision to place series 18, 19 and 20 corporate ruble-denominated bonds of PJSC MMK. In October, 2012 the Federal Service for Financial Markets carried out the state registration of securities issues. The financial organizations rendering the service of placement of corporate ruble-denominated bonds of PJSC MMK were LLC IC MMK-Finance, PJSC BANK URALSIB and AO Unicredit Bank. The total value of registration program amounts to 20 billion rubles. Currently there are no issues of this program.
The RUB 5 billion Series 18 issue has been redeemed;
The RUB 5 billion Series 19 issue has been redeemed;
Series 20 issue is cancelled.
Exchange-Traded Bonds:
In October of 2009, the Board of Directors of PJSC MMK adopted a resolution to place exchange-traded bonds of BO-01, BO-02, BO-03, BO-04 and BO-05 Series. Financial institutions rendering services to PJSC MMK for the placement of the exchange-traded bonds were LLC IC MMK-Finance, PJSC ROSBANK, PJSC BANK URALSIB and LLC Renaissance Capital-FK. The total amount of this bond program stood at RUB 33 billion. To date, the series BO-01- BO-05 issues have been redeemed.
In February of 2011 the Board of Directors of PJSC MMK adopted a resolution to place exchange-traded bonds of BO-06, BO-07, BO-08, BO-09, BO-10, BO-11, BO-12, BO-13, BO-14 and BO-15 Series. Financial institutions rendering services to PJSC MMK for the placement of the exchange-traded bonds are LLC IC MMK-Finance, PJSC Bank URALSIB and PJSC Sviaz Bank. The total amount of this bond program stands at RUB 50 billion. Currently there are no outstanding issues of the program.
The following issues have been redeemed:
The RUB 5 billion Series BO-06 issue.
The RUB 5 billion Series BO-07 issue.
The RUB 5 billion Series BO-08 issue.
Credit Ratings
| Date of assignment rating |
Name rating | rating |
changes |
|---|---|---|---|
| 08 april 2019 | Fitch Ratings Ltd Eldon House 2 Eldon Street London EC2M 7UA Great Britain (англ) | BBB | Stable |
| 12 february 2019 | Moody's Investors Service Inc. 99, Church Street, New York 10007, USA (англ) | Baa2 | Stable |
| 10 december 2018 | Standard&Poor's Global Ratings, 20 Canada Square, Canary Wharf , London E14 5LH, England | BBB- | Stable |
See scaleratings with explanations can be found here
