OJSC PhosAgro (PHOR)
PhosAgro's 3.05% Coupon Sets Record Low for USD-denominated Bond Placements
by Russian Borrowers
24-Jan-2020 / 09:30 MSK
Dissemination of a Regulatory Announcement that contains inside information
according to REGULATION (EU) No 596/2014 (MAR), transmitted by EQS Group.
The issuer / publisher is solely responsible for the content of this
announcement.
For Immediate Release 24 January 2020
NOT FOR PUBLICATION, DISTRIBUTION OR RELEASE IN THE UNITED STATES, CANADA,
AUSTRALIA, JAPAN, THE RUSSIAN FEDERATION OR ANY OTHER JURISDICTION WHERE
SUCH ACTIONS WOULD BE UNLAWFUL
PhosAgro's 3.05% Coupon Sets Record Low for USD-denominated Bond Placements
by Russian Borrowers
Moscow - PhosAgro ("PhosAgro" or "the Company") (Moscow Exchange, LSE:
PHOR), one of the world's leading vertically integrated phosphate-based
fertilizer producers, announces that yesterday it closed its USD 500 million
5-year Eurobond issue with a coupon of 3.05%.
PhosAgro CEO Andrey Guryev said: "I am happy to announce the successful
completion of this transaction, which saw PhosAgro establish a record low
coupon for USD-denominated bond placements by Russian issuers. I am
confident that our success will provide a clear signal to the market and
will serve as a benchmark for future placements.
"The issue saw strong interest from investors: the coupon rate was 32.5 b.p.
lower than the upper end of the initial range; the order book was more than
4x oversubscribed at peak demand (with a volume of around USD 2 bln).
"More than 75% of the issue was purchased by foreign institutional investors
(UK, 33%; United States, 20%; Continental Europe, 15%; Asia and the Middle
East, 7%) and we are pleased that leading Russian and international funds
and banks took part in the placement."
The funds from this placement will be used to optimise PhosAgro's loan
portfolio while maintaining the Company's net debt/EBITDA ratio at a
comfortable level.
PhosAgro's Eurobond issue was assigned credit ratings of BBB- from Standard
& Poor's, Baa3 from Moody's and BBB-(EXP) from Fitch Ratings, which
corresponds to the Company's corporate credit ratings.
Citi, Gazprombank, J. P. Morgan, BofA Securities, Sberbank CIB, VTB Capital
and Renaissance Capital acted as joint bookrunners for this transaction.
About PhosAgro
PhosAgro (www.phosagro.com [1]) is one of the world's leading vertically
integrated phosphate-based fertilizer producers in terms of production
volumes of phosphate-based fertilizers and high-grade phosphate rock with a
P2O5 content of 39% and higher. PhosAgro's environmentally friendly
fertilizers stand out for their high efficiency, and they do not lead to the
contamination of soils with heavy metals.
The Company is the largest phosphate-based fertilizer producer in Europe (by
total combined capacity for DAP/MAP/NP/NPK/NPS), the largest producer of
high-grade phosphate rock with a P2O5 content of 39% and one of the leading
producers of MAP/DAP globally, one of the leading producers of feed
phosphates (MCP) in Europe, and the only producer in Russia, and Russia's
only producer of nepheline concentrate (according to the RAFP).
PhosAgro's main products include phosphate rock, 39 grades of fertilizers,
feed phosphates, ammonia, and sodium tripolyphosphate, which are used by
customers in 100 countries spanning all of the world's inhabited continents.
The Company's priority markets outside of Russia and the CIS are Latin
America, Europe and Asia.
PhosAgro's shares are traded on the Moscow Exchange, and global depositary
receipts (GDRs) for shares trade on the London Stock Exchange (under the
ticker PHOR). Since 1 June 2016, the Company's GDRs have been included in
the MSCI Russia and MSCI Emerging Markets indexes.
More information about PhosAgro can be found on the website:
www.phosagro.com [1].
Manufacturer target market (MiFID II Product Governance) is eligible
counterparties and professional clients (all distribution channels) only. No
PRIIPs key information document (KID) has been prepared as not available to
retail in EEA.
This announcement is directed only at persons who (i) are outside the United
Kingdom or (ii) have professional experience in matters relating to
investments falling within article 19(5) of the Financial Services and
Markets Act 2000 (Financial Promotion) order 2005 (the "Order") or (iii) are
persons falling within article 49(2)(a) to (d) ("high net worth companies,
unincorporated associations etc") of the Order or (iv) to whom this
announcement may otherwise be directed without contravention of section 21
of the Financial Services and Markets Act 2000 (all such persons together
being referred to as "relevant persons"). This announcement must not be
acted on or relied on by persons who are not relevant persons. Any
investment or investment activity to which this announcement relates is
available only to relevant persons and will be engaged in only with relevant
persons.
In member states of the EEA, this announcement is directed only at persons
who are "qualified investors" within the meaning of Prospectus Regulation
(Regulation (EU) 2017/1129).
This announcement is not for public release, publication or distribution,
directly or indirectly, in or into the United States (including its
territories and possessions, any State of the United States and the District
of Columbia), except to "qualified institutional buyers" ("QIBs") as defined
in Rule 144A under the U.S. Securities Act of 1933, as amended (the
"Securities Act") that are also "qualified purchasers" ("QPs") as defined in
Section 2(a)(51) of the U.S. Investment Company Act of 1940, as amended.
This announcement does not constitute or form a part of any offer of, or
solicitation to purchase or subscribe for, any securities in the United
States. Any such securities have not been, and will not be, registered under
the Securities Act and may not be offered or sold in the United States,
except to QIBs that are also QPs in reliance on the exemption from
registration under Rule 144A. No public offering of securities will be made
in the United States of America or in any other jurisdiction where such an
offering is restricted or prohibited.
This announcement or information contained therein is not an offer, or an
invitation to make offers, to sell, exchange or otherwise transfer
securities in the Russian Federation to or for the benefit of any Russian
person or entity and does not constitute an advertisement or offering of
securities in the Russian Federation within the meaning of Russian
securities laws. Information contained herein is intended only for persons
who are "qualified investors" within the meaning of Article 51.2 of the
Federal Law no. 39-FZ "On the Securities Market" dated 22 April 1996, as
amended (the "Russian QIs") and must not be distributed or circulated into
Russia or made available in Russia to any persons who are not Russian QIs,
unless and to the extent they are otherwise permitted to access such
information under Russian law. The securities have not been and will not be
registered in Russia and are not intended for "placement" or "circulation"
in Russia (each as defined in Russian securities laws) unless and to the
extent otherwise permitted under Russian law.
ISIN: US71922G2093
Category Code: IOD
TIDM: PHOR
LEI Code: 635400F8A3KGJIIBIK95
OAM Categories: 2.2. Inside information
Sequence No.: 42435
EQS News ID: 960277
End of Announcement EQS News Service
1: https://link.cockpit.eqs.com/cgi-bin/fncls.ssp?fn=redirect&url=8f5b4bfefe8d147461e27463b8e4e900&application_id=960277&site_id=vwd&application_name=news
(END) Dow Jones Newswires
January 24, 2020 01:30 ET (06:30 GMT)
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