On 14 November 2022, O'KEY Finance LLC placed an issue of exchange-traded bonds worth RUR 8.5 billion on Moscow Exchange, with BCS Global Markets acting as the Arranger.
The first coupon rate target was set at 11.75% per annum but during book building the final coupon was fixed at 11.50% per annum (with the effective yield to the put option at 12.01% per annum). The planned amount of placement was increased from RUR 5 billion to RUR 8.5 billion. The issue has a maturity of 10 years with put option in three and a half years, and an ‘ruA-(EXP)’ credit rating by Russia’s credit agency Expert RA. O’KEY LLC and DORINDA JSC provide public irrevocable offer by the issue.
O'KEY Finance LLC is an SPV set up for the bond issue.
O’KEY LLC (‘ruA-‘ by Expert RA) is a major Russian food retail chain. Ever since the first hypermarket was unveiled in St. Petersburg in 2002, it has enjoyed displayed steady growth and has a presence in many Russian cities. According to the 2021 IFRS consolidated financial statements, it earned RUR 187bn in revenue, with EBITDA at RUR 16 billion, and net debt / EBITDA at 1.8x.
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.