Naftogaz agrees with investors on the restructuring of Eurobonds

The Naftogaz of Ukraine national joint-stock company has reached agreements with the investors on ways to restructure Eurobonds due July 2022 and November 2026.

This follows from a statement by Naftogaz, the Ukrainian News agency reports.

"We are one step closer to fulfilling our obligations to investors. It is important that we managed to find the most optimal solutions for both investors and our group of companies in close dialogue with all Eurobond holders," said the head of the Naftogaz group, Oleksii Chernyshov.

According to him, the detailed restructuring proposals were also approved by the company's board and supervisory board.

In the future, the relevant decision is subject to final approval by the Cabinet of Ministers as a shareholder of the company.

It is noted that the restructuring should be completed by the end of July 2023.

As the Ukrainian News agency earlier reported, in August, holders of Naftogaz's Eurobonds agreed to postpone payments for Eurobonds-2024, while holders of Eurobonds-2026 did not support the company's proposal to postpone payments.

Also in August, holders of Naftogaz's Eurobonds due July 2022 rejected the company's second proposal to postpone payments for two years.

On July 26, Naftogaz did not make the necessary payments for Eurobonds-2022. Thus, the company's Eurobonds defaulted.

In November 2019, Naftogaz placed seven-year Eurobonds worth USD 500 million with a rate of 7.625% per annum.

Also, in July 2019, Naftogaz placed five-year Eurobonds for EUR 600 million with a rate of 7.125% per annum and three-year Eurobonds for USD 335 million with a rate of 7.375% per annum.

Naftogaz is a leading enterprise of the country's fuel and energy complex, which is engaged in prospecting and development of deposits, drilling, transportation and storage of oil and gas, as well as supplying gas to consumers.

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