AEQUO has acted as a Ukrainian law counsel to NJSC Naftogaz of Ukraine (“Naftogaz”) on Ukrainian law matters in connection with its second capital markets transaction in 2019. Freshfields Bruckhaus Deringer LLP has acted as a counsel to Naftogaz on English law matters. Naftogaz returned to the market in November with USD 500 million 7-year Eurobonds at 7.625% p.a., after placement of EUR 600 million at 7.125% and USD 335 million at 7.375% bonds in July this year.
According to the Press Service of the company, the book peaked at almost 2.9 times oversubscription. Worldwide investors from the US, UK, Switzerland, Germany & other EU Member States; Asia or Middle East have participated in the offering. The re-offer yield reflects a 127 bp premium to Ukraine’s sovereign debt due in 2026, the lowest spread to sovereign achieved by Ukrainian stated-owned companies this year.
Notably, the successful placement of Eurobonds has been made by the company in the course of ongoing unbundling and gas transit negotiations with the Russian Federation.
AEQUO’s team provided comprehensive legal support in all matters of the Ukrainian law, including issue structuring, drafting and negotiating the transaction documentation, preparing the Offering Circular, providing legal support in the course of obtaining regulatory approvals, issued legal opinion in respect of the transaction and assisted with completion of the Eurobond issue.
"We are grateful to NJSC Naftogaz of Ukraine for the opportunity to assist with all the company's successful capital markets transactions in 2019," comments Yulia Kyrpa, AEQUO’s, Banking & Finance and Capital Markets partner.
AEQUO's project team worked under the supervision of Yulia Kyrpa, partner, and included Bohdan Dmukhovskyy, Myroslava Savchuk, counsels, Denys Kulgavyi, of counsel, Vasyl Mishchenko, senior associate, Olesia Mashtaler, Taras Shmyh and Anna Konovalova, associates.