Contact us (+ 7 (921) 446-25-10)
×
Texting is available for authorized users.
Please register or log in at the website.
×
Your request for online training has been sent. Cbonds managers will be in touch with you shortly. Thank you!

Concorde Capital Research: Ukrzaliznytsia bondholders approve cross-default waiver till 2018

December 08, 2016 | Cbonds

Ukraine’s railway monopoly Ukrzaliznytsia (RAILUA) reported on Dec. 7 that more than 93% of the holders of its Eurobonds agreed at a vote that day to extend a cross-default waiver by end-2017. In February 2016, bondholders gave time for Ukrzaliznytsia to restructure all its local debt by mid-September, while so far the company has only managed to restructure 39% of its USD 918 mln in total debt to local banks.

The company is planning to agree on restructuring 42% of its local debt by end-2017. 19% of the local debt of Ukrzaliznytsia, which is debt of Donetska Railway, won’t be restructured until the company regains access to its assets on the occupied territories of Donbas. With the Dec. 7 vote, bondholders agreed to carve out this debt from the scope of the cross-default provisions.

The bondholders voted in favor of terms proposed by a Dec. 5 deadline and will a receive 0.5% consent fee. The company has yet to report on a payment date.

Alexander Paraschiy: Approval of cross-default waiver is a logical event that enables most bondholders to gain an additional fee from the company. We do not rule out that the company will ask for another waiver in one year, given that talks with local banks are going slowly. Our neutral/skeptical view of RAILUA bonds remains, given the company’s high CapEx appetite that exceeds its ability to generate cash from its operations.

Company: Ukrainian Railway

Full company nameUkrainian Railway
Country of riskUkraine
Country of registrationUkraine
IndustryTransportation

Share:

Similar news:
minimizeexpand
200 000
issues: local and international bonds
170
countries
+7 812 336 97 21
pro@cbonds.info
200 000
issues: local and international bonds
170
countries
Сbonds is a global Fixed income data platform
+7 812 336 97 21
pro@cbonds.info
Data
  • Descriptive data on bonds
  • Bond Quotes from trading systems and market participants
  • Prospectuses and other issue documents
  • Credit ratings
  • Indices and indicators
  • Market news and analytical research
Analytical instruments
  • Multi-parameter bond database search
  • Bond Maps
  • Market calendar
  • Bond calculator
  • Watchlist and Portfolio management
  • Chart analysis
  • Mobile App and Excel Add-in Tool
Sign in or RegisterSubscription/Trial access
minimizeexpand
Cbonds is a global fixed income data platform
×