VTB Capital arranges quick return to international debt markets for the Republic of Cyprus
VTB Capital acted as a joint lead manager and joint bookrunner in the placement of a five-year EUR 750 million Reg-S sovereign Eurobond issue for the Republic of Cyprus, priced with a coupon of 4.75%. VTB Capital participated in the placement alongside leading international investment banks, including Deutsche Bank, Goldman Sachs, HSBC and UBS.
The Eurobond placement marks the first public debt sale for the Republic of Cyprus since the country was affected by a banking crisis during 2013, making it the fastest comeback to international capital markets of any bailed-out euro zone country. The issue comes after the European Central Bank recently announced measures to boost Europe’s growth.
Riccardo Orcel, Deputy CEO of VTB Group, Head of Global Banking at VTB Capital, said: “We are delighted to have had the opportunity to assist the Republic of Cyprus in raising financing in the international markets. VTB Capital continues expanding its international franchise with deals in Cyprus, Slovakia and China in the past few days. We consider the sovereign bond of the Republic of Cyprus a landmark deal and will continue working closely with the country.”
Andrey Solovyev, Global Head of DCM at VTB Capital, noted: “This is a breakthrough transaction that will further increase VTB Capital’s international reach. This Cyprus Eurobond is the first VTB Capital transaction for an EU sovereign issuer. We will continue to develop our sovereign bond placement experience to maintain our leading position in the DCM market.”
In November 2012, VTB Capital became the first Russian investment bank to place sovereign Eurobonds in Central and Eastern Europe with a USD 750 million 5-year Eurobond issue for the Republic of Serbia. In August 2012, the investment bank acted as a sole lead manager for Angola’s USD 1 billion Debut 7-year Eurobond, and in September 2013, VTB Capital participated as a joint lead manager for Mozambique’s issue of a USD 350 million 7-year Eurobond.
VTB Capital, the Investment Business of VTB Group, is one of the three strategic business arms of VTB Group, along with the corporate and retail businesses. Since its foundation in 2008, VTB Capital has taken part in more than 470 ECM and DCM deals, which were instrumental in attracting more than USD 195bn worth of investments to Russia and CIS.
VTB Capital offers a full range of investment banking products and services to Russian and international clients, focusing on arranging operations in the debt, equity, global commodities markets, developing investment and asset management, advising clients on M&A and ECM deals in Russia and abroad. VTB Capital operates in Moscow, London, Singapore, Dubai, Hong Kong, Sofia, New York, Paris and Vienna, with headquarters in Moscow.
VTB Capital holds top positions in the debt and equity capital markets in Russia and CIS according to the league tables for 2011 and 2012 by Dealogic and Bloomberg. In 2011 and 2012 VTB Capital research team was ranked #1 in Thomson Reuters Extel Survey and Institutional Investor All-Russia Investor Survey.
This press-release does not constitute an offer to the public or an advertisement of securities in the Russian Federation, is not an offer or an invitation to make offers, to purchase securities in the Russian Federation and must not be passed on to third parties or otherwise made publicly available in the Russian Federation.