On November 19, 2012 «AK BARS» Bank issued USD 500,000,000, 8.75 per cent. Eurobonds due 2015, in the form of loan participation notes issued by, but without recourse to AK Bars Luxembourg S.A. for the sole purpose of financing a loan to «AK BARS» Bank under its USD 1,500,000,000 LPN Programme.
Credit Suisse Securities (Europe) Limited and VTB Capital plc acted as Joint Lead Managers.
A series of meetings with investors took place in Hong Kong, Singapore, Zürich, Geneva and London.
High demand on the part of international investors, which included private banks, exceeded expectations, accumulating more than 100 orders amounting to more than USD 725,000,000. This allowed for a diversified allocation between European and Asian investors.
«AK BARS» Bank’s new benchmark deal marks the largest senior unsecured FI Eurobond out of CIS in 2012YTD from «B-BB» ratings category.
This new Eurobond offering represents the largest ever senior unsecured Eurobond issued by «AK BARS» Bank.
«AK BARS» Bank is planning to use the proceeds for funding its lending activities and for general banking purposes.
This announcement is not an offer for sale of securities in the United States or any other jurisdiction. The securities referred to herein may not be sold in the United States absent registration or an exemption from registration under the U.S. Securities Act of 1933, as amended. Neither «AK BARS» Bank nor AK Bars Luxembourg S.A. intends to register any portion of the issue of securities in the United States or to conduct a public offering of the securities in the United States.
This communication does not constitute an offer of the Securities to the public in the United Kingdom. No prospectus has been or will be approved in the United Kingdom in respect of the Securities. This communication is being distributed to and is directed only at (i) persons who are outside the United Kingdom or (ii) persons who are investment professionals within the meaning of Article 19(5) of the Financial Services and Markets Act 2000 (Financial Promotion) Order 2005 (the «Order») and (iii) high net worth entities, and other persons to whom it may lawfully be communicated, falling within Article 49(2)(a) to (d) of the Order (all such persons together being referred to as «Relevant Persons»). Any investment activity to which this communication relates will only be available to and will only be engaged with, Relevant Persons. Any person who is not a Relevant Person should not act or rely on this document or any of its contents.
THE INFORMATION CONTAINED IN THIS ANNOUNCEMENT DOES NOT CONTAIN OR CONSTITUTE AN OFFER, OR AN INVITATION TO MAKE OFFERS, SELL, PURCHASE, EXCHANGE OR TRANSFER ANY SECURITIES IN ANY JURISDICTION INCLUDING, WITHOUT LIMITATION, THE RUSSIAN FEDERATION OR TO OR FOR THE BENEFIT OF ANY RUSSIAN PERSON OR ANY PERSON IN THE RUSSIAN FEDERATION, AND DOES NOT CONSTITUTE AN ADVERTISEMENT OF ANY SECURITIES IN THE RUSSIAN FEDERATION. INFORMATION CONTAINED HEREIN IS CONSIDERED AS INFORMATION FOR QUALIFIED INVESTORS IN THE MEANING OF THE RUSSIAN SECURITIES LAWS AND MUST NOT BE PASSED IN RUSSIA ON TO THIRD PARTIES WHO ARE NOT RUSSIAN QUALIFIED INVESTORS OR OTHERWISE PERMITTED UNDER RUSSIAN LAW TO ACCESS SUCH INFORMATION. THE PROPOSED SECURITIES HAVE NOT BEEN, NOR WILL BE, ADMITTED TO PUBLIC PLACEMENT AND/OR PUBLIC CIRCULATION IN THE RUSSIAN FEDERATION AND MAY NOT BE OFFERED TO ANY PERSON IN THE RUSSIAN FEDERATION EXCEPT AS PROVIDED BY RUSSIAN LAW.
THE DISTRIBUTION OF THIS ANNOUNCEMENT IN CERTAIN JURISDICTIONS MAY BE RESTRICTED BY LAW AND PERSONS INTO WHOSE POSSESSION THIS ANNOUNCEMENT COMES ARE REQUESTED TO INFORM THEMSELVES ABOUT, AND TO OBSERVE, ANY SUCH RESTRICTIONS.