Bulgarian Energy Group BEH Places 550 Million Euros Bond Issue - Minister

Bulgarian Energy Group BEH Places 550 Million Euros Bond Issue - Minister

State-owned Bulgarian Energy Holding (BEH) has successfully placed a 550 million euros issue of corporate bonds on international capital markets, Energy Minister Temenuzhka Petkova has announced.
The energy holding will use the proceeds from the bond issue to repay a bridge loan which BEH took out earlier this year to repay debt of its subsidiary National Electricity Company (NEK) owed to the local power plants of U.S.-based AES Corporation and ContourGlobal.
The 550 million euros five-year unsecured bond issue was almost four times oversubscribed, as investors placed bids for some 2.1 billion euros worth of BEH bonds, according to capital.bg  
“The achieved yield is 5.125%, which experts see as a good result against the background of problems in the energy sector and volatile capital markets after Brexit and the coup attempt in Turkey,” the Bulgarian business newspaper said in its online edition.
An announcement that an unnamed investor had booked 20% of the issue, which was made at the start of the subscription, gave a  positive signal to other investors, the newspaper said. It added that according to two independent sources that investor had been the European Bank for Reconstruction and Development.
The bonds from the second issue will be listed on the Irish stock Exchange, on which bonds from BEH’s first issue already trade. The 500  million euros, five-year issue was placed at an yield of 4.287% in 2013.

Sofia News Agency

Previous Next
Test Caption
Test Description goes like this
Cookies Preferences
Choose Type of Cookies You Accept Using

These cookies are required for the website to run and cannot be switched off. Such cookie are only set in response to actions made by you such as language, currency, login session, privacy preferences. You can set your browser to block these cookies but our site may not work then.

These cookies allow us to measure visitors traffic and see traffic sources by collecting information in data sets. They also help us understand which products and actions are more popular than others.

These cookies are usually set by our marketing and advertising partners. They may be used by them to build a profile of your interest and later show you relevant ads. If you do not allow these cookies you will not experience targeted ads for your interests.