OJSC PhosAgro, Moscow, has priced a $500 million seven-year Eurobond issue with a coupon of 2.6 percent to be listed on Euronext Dublin, the fertilizer group said in a Sept. 10 statement.
Settlement is expected to take place on Sept. 16.
PhosAgro CEO Andrey Guryev said the group plans to use the funds raised from the bond placement for general corporate purposes, as well as loan portfolio refinancing to maintain the group’s net debt/EBITDA ratio “at a comfortable level.”
PhosAgro’s net debt/EBITDA ratio at the end of the second quarter was 1.07x, compared with 1.86x at the end of 2020. Its net debt stood at RUB 126.3 billion ($1.7 billion) as of June 30, 2021, a RUB 30.5 billion decrease since the end of last year (GM Aug.13, p. 30).
The Russian fertilizer group last tapped the Eurobond market in January 2020, placing a five-year issue worth $500 million at 3.05 percent per annum, according to an Interfax report.