02 September 2015, 11:52 / Business

OGK-2 is preparing a program of exchange-traded bonds for 30 billion rubles

On August 31 , the Board of Directors of PJSC OGK-2 approved a program of exchange-traded bonds with a total nominal value of up to 30 billion rubles. inclusive or the equivalent of this amount in foreign currency, the company said in a statement.

The maximum circulation period of exchange-traded bonds placed under the program will be 10 years.

The issue of approving transactions to place exchange-traded bonds on the Moscow Exchange was also considered.

Earlier it was reported that the company's board of directors approved the conclusion of an agreement on organizing a bond issue between the energy company, Sberbank CIB and VTB Capital.

There are currently no company bonds outstanding. The issue of three-year exchange-traded bonds BO-01 for 5 billion rubles remained unplaced.

In June it was reported that OGK-2 could raise up to 15 billion rubles. “We have approved a business plan, the amount of debt was 47 billion rubles, and the plan was 60-62 billion rubles. We need to borrow about 15 billion rubles,” said the company’s general director Denis Bashuk.

The money will be used for refinancing. “A number of our contracts expire this year, we will refinance, which is what we are doing now,” noted the general director.

Loans and bonds were discussed as attraction tools; additional capitalization was not discussed. As the company clarified, the covenants allow the debt to be increased to 65 billion rubles. At the same time, the company will keep the debt to EBITDA ratio at the current level.

At the end of the first half of the year, OGK-2 reported that its net debt under IFRS was 40.4 billion rubles, the ratio of net debt to EBITDA was 3.78.

At the end of 2014, these figures were 34.1 billion rubles. and 2.64 respectively. The volume of borrowed funds at the end of June amounted to 47.1 billion rubles.

Structure LLC Gazprom Energoholding (100% subsidiary of OJSC Gazprom - OJSC Centerenergoholding - is the main shareholder of OJSC OGK-2 , it has 73.42%.

OGK-2 is a thermal generation company with an installed capacity of 18 GW and annual revenue of about 116 billion rubles. In 2014, the company generated 68.7 billion kWh of electricity (about 7% of the all-Russian volume and over 11% of the total thermal generation output).