CEE Bonds

The Republic of Poland, which issued the world’s first sovereign green bond, has returned for another bite of the apple, naming leads for a new issue.

Credit Bank of Moscow, the only survivor of four banks identified in a leaked report from an Alfa-Capital analyst in August as at risk of a central bank bailout, has mandated lead managers for a senior trade.

Three new issues from Polyus Gold, Rusal and Alfa-Bank were trading below reoffer, with investors blaming the aggressive pricing strategies of Russian issuers, rather than concerns about the US Treasury recommendations due on Monday.

Kazakhstan is preparing to open up its local markets to foreign investors, having this week inked a memorandum of interest with Euroclear. After a big year for EM local currency issuance in 2017, investors and bankers are excited about the possibility of easier access to Kazakh local markets, writes Virginia Furness.

Russian corporates have been quick off the mark in the bond market this year with two more following fertilizer company PhosAgro into bonds this week.

Making Kazakh domestic assets Euroclearable is a laudable aim. But in its treatment of international investors, the country needs to be aspire to similarly high standards if it is to succeed in opening up capital markets.

United Company Rusal has released price guidance for its Reg S/144A five year benchmark bond.

Russia’s Alfa-Bank achieved a sub 7% print to raise $500m with the first additional tier one from the country this year.

Polyus Gold, Russia’s largest gold producer, printed its $500m six year bond on Wednesday from a book of $2bn and flat to where lead managers said they saw fair value.

United Company Rusal has added an extra bank to its bond mandate ahead of pricing for the Reg S/144A dollar deal, which is expected on Thursday.

Kazakhstan is a step closer improving foreign investor access to its domestic market and has signed a memorandum of interest with Euroclear, which will allow the settlement provider to clear bonds denominated in tenge.

Polyus Gold, Russia’s largest gold producer, has released price guidance for a six year benchmark bond and books for the deal are already over $1.1bn.