February 28, 2005 | Cbonds
|Khreshatik bank on behalf of Kiev City government paid off the 5th quarterly coupon in amount of 3.273 mln on its domestic municipal bonds. The bonds were issued in amount of 150 mln hryvnias and placed in amount of 100 mln hryvnias. |
The announcement was made by a representative of Khreshatik bank. He said the bank paid 32.73 hryvnias per each bond worth 1,000 hryvnias at par. The payment was based on the coupon rate of 14% p.a.
Kiev redeemed the first four quarterly coupons worth 3.5 mln hryvnias each in February, May, August and November, 2004.
On December 31, 2003, Khreshatik bank on behalf of Kiev City administration finished placing 5-year bonds. The bonds were offered in amount of 150 mln hryvnias, and sold worth 100 mln hryvnias. Kiev launched the issue on November 25, 2003.
The bond yield was set at 14% for the first year in circulation, 13% - for the second year, 12% - third year. For years 4 and 5 the yield was set at 1.5 of the National bank’s discount rate, but no less than 10%, and no more than 14% p.a.
Standard&Poor’s assigned a B long-term rating to Kiev 5-year bonds worth 150 mln hryvnias. The issue proceeds will be used to finance the city development.
Based on Ukrainski Novini data