PJSC Sovcombank said Jan. 27 that it became the first Russian issuer to place social eurobonds, with the value of the placement amounting to $300 million.
The four-year eurobonds bear a coupon rate of 3.4% and are compliant with the International Capital Market Association's social bond principles. The bonds were mainly purchased by investors from continental Europe, Russia and the United Kingdom, with demand peaking at $900 million.
Proceeds from the bond issuance will be used by the bank to finance its portfolio of installment cards.
J.P. Morgan, HSBC, Emirates NBD Capital, Gazprombank, ING, Renaissance Capital, Sberbank CIB, Sova Capital, UniCredit, VTB Capital and Sovcombank itself acted as organizers, while Latham & Watkins and Baker McKenzie provided legal services related to the transaction.