On 6 August 2020, MOEX added ООO IA Absolut 5 bonds worth more than 4 billion roubles to its list of fixed income securities, with BCS Global Markets acting as the lead manager.
The initial coupon rate of 6,25%-6.35% per annum was set as part of bookbuilding at 6.35% per annum, putting the yield to maturity at 6.50% per annum. The issue has been secured with receivables related to the pool of mortgages (around 9 billion roubles) as well as the special purpose reserve fund (3.6% of the outstanding nominal value).
Russia’s rating agency АКRА assigned a ‘AAA(ru.sf)’ credit rating to the issue.
ООO IA Absolut 5 is a bankruptcy-remote SPV that acts as a mortgage broker.
PAO AKB Absolut Bank is a major bank with a nationwide network of branches and focus on high-tech projects in priority sectors of Russia’s most economically developed regions. Building on its legacy of 25 years, it now specialises on segments with a high level of expertise and unique IT solutions: digital products in mortgage, car loans and SMEs, full range of products for OAO Russian Railways and its subsidiaries, as well as diverse solutions in private banking.
AKB Absolut Bank has a ‘B2’ rating from Moody’s as well as a ‘ruBBB-‘ rating from Expert RA.
A message from management of BCS Global Markets
The continuously evolving nature of the global coronavirus situation has meant we at BCS Global Markets (BCS) are taking all necessary steps to keep business disruption to an absolute minimum.
Effective from today (Wednesday 18th March) employees from all divisions of the business based in our Russia, UK, USA and Cyprus offices who can work from home without creating any even minor possible risk for business continuity of the Group will be working remotely. It is very much business as usual at BCS. Our employees are equipped with secure access to our systems and will follow their normal working hours, keeping in regular contact with their colleagues and clients.
Despite ongoing disruption caused by COVID-19, we want to also assure you that following a sustained period of positive performance, our capital and liquidity position remains very strong. The business is well-placed to meet any subsequent financial challenges and will continue to go above and beyond for our clients.