Deutsche Bank Moscow and United Financial Group served as underwriters in the bonds issue programme for Finans International Invest, LLC.
The 2.5 billion rouble issue at par has a maturity period of two years and carries a one-year put option and four semiannual coupons. The yields of first two coupons were set at the auction while the yields of the second-year coupons are to be set by the issuer before executing the put option. The auction was held on September 14, 2005 at the Moscow Interbank Currency Exchange. The coupon at the auction was set at 8.33% implying, a yield to put of 8.5%. The demand amounted to 6.28 billion roubles, with 66 bids submitted.
The revenues from the placement will go to finance the activities of Finansbank (Russia) Ltd, one of Russia's most dynamic banks in the consumer finance sector.
'We regard this placement as an extremely attractive investment opportunity, given the continuing high pace of development of the consumer credit market in Russia, Finansbank (Russia) Ltd's rapidly growing business and its affiliation with a leading financial group with over USD12 bn-worth of assets. This is evidenced by strong demand on the part of major international investment funds that are the clients of the Deutsche Bank Group,' said Sergey Babayan, Head of Local Sales, Deutsche Bank Moscow.
The president of UFG Ilya Sherbovich said, 'the successful placement of Finans International Invest, LLC bonds points to growing confidence of both domestic and foreign investors in the Russian financial market against the backdrop of a very favourable domestic macroeconomic environment'.
For further information please call:
Deutsche Bank Moscow
Olga Podoinitsyna Tel: +7 501 797 5303
United Financial Group
Jennifer Buttenheim Tel: +7 501 967 3727
About Finans International Invest, LLC
Finans International Invest, LLC is a subsidiary of the FIBA Group of Companies which is one of Turkey's leading diversified financial conglomerates. FIBA Group of Companies was established in 1987 and now comprises a host of credit and financial services companies in eleven countries in Western and Eastern Europe and the Middle East, namely: Switzerland, the Netherlands, Turkey, Belgium, France, Germany, Romania, Malta, Russia, the Republic of Ireland and Bahrain. FIBA Group's total assets reached $12.4 bn in year 2004.
About Deutsche Bank
With Euro 964 billion in assets and 63,652 employees, Deutsche Bank offers unparalleled financial services in 74 countries throughout the world. Deutsche Bank competes to be the leading global provider of financial solutions for demanding clients, creating exceptional value for its shareholders and people. Deutsche Bank ranks among the global leaders in corporate banking and securities, transaction banking, asset management, and private wealth management.
Deutsche Bank Ltd. (Deutsche Bank Moscow) was established in April 1998. The Bank is a wholly-owned subsidiary of Deutsche Bank AG. Deutsche Bank Moscow has become one of the largest foreign banks in Russia. Deutsche Bank Moscow provides local and international, corporate and private clients with a broad range of financial services, comprising corporate finance and advisory, sales, trading, transaction banking as well as private wealth management and asset management services. The bank includes the largest Russian and multinational companies among its client base.
About United Financial Group
United Financial Group (UFG) was founded in 1994. Over the past decade UFG has established a reputation for integrity and excellence as an innovative leader in research, corporate finance, sales & trading and structured products for top-tier international and Russian corporate clients and institutional investors.
In November of 2003 global financial leader Deutsche Bank AG and UFG created a strategic partnership which combines UFG's local knowledge with Deutsche Bank's global platform to create exceptional value for clients worldwide.