Ukraine is pricing a $1bn US government guaranteed bond via JP Morgan and Morgan Stanley, two DCM officials away from the deal have told GlobalCapital, the sister title for Emerging Markets.
The five year bond will have a maximum yield of 2.9%, according to press reports which quote the Ukraine government website as the source.
“A yield of 2.9% would seem very generous,” said one DCM official away from the deal. “Treasuries are at 160bp, and that seems like a big pick-up.”
Ukraine is rated Caa3/CCC/CCC, with rating agencies having lowered their assessment of the country’s creditworthiness after Russia sent troops into Crimea on March 1.