On 29 July, 2011 the order book for Absolyut Bank's series 05 bonds for a total of 1.8 bn roubles, subject to put option in 3 years upon placement.
During the roadshow 45 bids were accepted from investors for the coupon range from 7.80% up to 8.40% p.a. The bids totalled RUR 8 778.8 mn, where over 93% were received within a narrow range between 7.90% and 8,00% p.a.
The Board of Directors at Absolyut Bank decided on the coupon rate of 8,00% p.a. Given the current market situation, placement price, coupon rate and the demand, Absolyut Bank accepted 35 bids. The proceed sfrom the issue will be used to finance the bank's core activities and diversification of resources.
Settlements of the 05 bonds placement transaction will be operated at MICEX on 3 August, 2011.
Lead managers of the issue are ZAO Raiffeisenbank and OAO AKB ROSBANK.
ZAO Raiffeisenbank is a subsidiary of Raiffeisen Bank International AG. Raiffeisenbank ranks 9th among the Russian banks in terms of assets, based on H1 2011 results (Interfax-CEA). According to the same Interfax-CEA data, ZAO Raiffeisenbank ranked 5th in terms of private deposits and 7th with regard to consumer lending.
Raiffeisen Bank International AG regards both Austria, where it is a leading corporate and investment bank, and Central and Eastern Europe (CEE) as its home market. In CEE, RBI operates an extensive network of subsidiary banks, leasing companies and a range of other specialised financial service providers in 17 markets. Around 60,000 employees service about 14 million customers through around 3,000 business outlets, the great majority of which are located in CEE. RBI is the only Austrian bank with a presence in both the world's financial centres and in Asia, the group's further geographical area of focus. Raiffeisen Bank International is a fully-consolidated subsidiary of Raiffeisen Zentralbank Oesterreich AG (RZB). RZB indirectly owns around 78.5 per cent of the common stock, which is listed on the Vienna Stock Exchange; the remainder is in free float. RZB is the central institution of the Austrian Raiffeisen Banking Group, the country's largest banking group, and serves as the group head office of the entire RZB Group, including RBI.