NJSC Naftogaz Ukrainy intends in summer to prepare for a possible issue of eurobonds, but the decision on the expediency of such a borrowing will be made this fall, head of the company Yuriy Vitrenko said in an exclusive interview with Interfax-Ukraine.
“We can count on a relatively successful placement of eurobonds, for which we will prepare by the fall. And we will decide in the fall whether we want to place eurobonds or not,” he said.
Vitrenko, who was appointed by the government as head of the company’s board at the end of April to replace Andriy Kobolev, who had held this post for seven years, rejected suggestions that investors had a negative attitude towards such a personnel decision.
“Almost the only indicator of the real attitude of investors to the changes in Naftogaz is the quotes of its eurobonds. And what do we see? The yield is decreasing. That is, investors are positive about these changes and refute this next speculation,” the head stressed.
Commenting on the recent placement of Ukravtodor’s eurobonds issued under state guarantees for $ 700 million for a period of 6.25 years at a rate of 6.25% per annum, Vitrenko congratulated his colleagues.
“But if we look at the quotes of Naftogaz’s eurobonds, they are now traded at about a similar level, despite the fact that we do not have government guarantees, unlike Ukravtodor. This means that investors are no less positive about the prospects for Naftogaz,” he said.
Speaking about the goals of a possible placement of eurobonds, Vitrenko named among them the optimization of the loan portfolio in Ukraine with the replacement of more expensive loans, if the situation is favorable, the optimization of the portfolio of Naftogaz eurobonds to stretch maturities over time, as well as investments.
“And not only in production, but, for example, in the heat and energy sector. Investments that will be focused on energy efficiency,” Vitrenko added.
