Published: May 8, 2014
Republic gives further details of exchange-and-tender offer ahead of new isssuance.
Montenegro has offered details of an exchange-and-tender offer for its outstanding international bonds ahead of an expected new issuance.
The republic has €380mn (US$526mn) of five-year eurobonds outstanding; €200mn from 2010 priced with a coupon of 7.875%, and €180mn from 2011 priced at 7.25%. On April 30 it launched an exchange-or-tender offer for these 2015 and 2016 bonds, under which investors can swap them for upcoming bonds or cash.
Today Montenego ended a three-day European roadshow run by Citi, Deutsche Bank and Erste Group to pitch the new issuance. The country’s finance ministry has confirmed that the minimum yield on the new eurobond issuance will be 5.5% and that the new paper will also have a maturity of five years. The new bond will be priced on May 13.