The approval by the Ukrainian government of the terms of a eurobond swap allows legally to launch the process of debt restructuring which is due to be completed before Dec. 1, during which period all repayments on the liabilities included in the restructuring are suspended, which is a technical measure, the country's Finance Ministry has said.
“The temporary suspension of repayments extends to nine of the 14 series of bonds of the external state loan and state-guaranteed eurobonds of state-run enterprise Fininpro within the perimeter of the restructuring, including the eurobonds maturing in September and October 2015,” the ministry said.
The temporary suspension does not include the eurobonds on which no repayment is due between Sept. 23 and Dec. 1, 2015.
The results of the restructuring of all series of debt securities are expected to be announced in October or early November and the restructuring is due to be completed before the end of November.
The deadline for electronic submission of a voting instruction by Ukrainian eurobond holders is Oct. 13; the results of the quorum of meetings and the conduct of a repeat meeting (if there is no quorum at the first one) will be announced no later than Oct. 14. Repeat meetings of holders of state bonds and Fininpro’s eurobonds are due to be held on Oct. 29 and Nov. 5, respectively.
