BCS Global Markets acted as the arranger of this primary offering. The initial bond coupon rate was in the range of 8.50% - 8.60%, but upon completion of bookbuilding, the final coupon rate was reduced and fixed at 8.45%, which corresponds to 8.63% yield to put. The bonds maturity is 15 years, the coupon period is 182 days, the 3-year put option is envisaged for the issue. The issue meets the criteria for inclusion into the Lombard list of the Bank of Russia and satisfies the requirements to investment of pension savings and insurance reserves.
X5 Retail Group (the ticker at London Stock Exchange and Moscow Exchange FIVE, Fitch rating BB+, Moody’s rating Bа2, S&P rating BB, RAEX rating ruAA) is one of Russia’s leading food retailers. The Company operates several retail formats: the chain of proximity stores under the Pyaterochka brand, the supermarket chain under the Perekrestok brand, the hypermarket chain under the Karusel brand, Express convenience stores under various brands.
The company has international ratings assigned by leading global rating agencies: Fitch BB+, Moody’s Bа2, S&P BB, Expert RA ruAA.