21 April 2017 Tinkoff Bank successfully places RUB 5 bn bond with a coupon of 9.65%
TCS Group Holding PLC (TCS LI) (the ‘Group’), Russia’s leading provider of online retail financial services, including Tinkoff Bank and Tinkoff Insurance, today announces the successful placement of Tinkoff Bank’s 001Р-01R series exchange bonds for a total nominal value of RUB 5 bn at a final coupon rate of 9.65% per annum.
The bonds have a maturity period of five years with a two-year put option from placement. The offering is part of Tinkoff Bank’s 001Р series exchange bond programme from 24 March 2017, totalling RUB 100 bn.
Tinkoff Bank plans to use the proceeds of the bond issue for the development of new business lines.
The initial guidance for the annual coupon rate was set within 9.75–10%. Following strong investor demand resulted in the offering being well oversubscribed, the first four coupon rates were fixed at (9.65%), lower than the initial guidance.
Sergey Pirogov, Vice President for Corporate Finance at Tinkoff Bank, said: «We are happy with the offering outcome. We came up with a good order book and achieved significant decrease in the offer price compared to the initial guidance. Russia’s bond market becomes an attractive source of the rouble liquidity again.»
The offering was arranged by Sberbank CIB and Sovcombank.
The bonds will be placed at the Moscow Exchange on 28 April 2017.