First convertible bonds issued in Azerbaijan’s stock market

First convertible bonds issued in Azerbaijan’s stock market
# 06 April 2011 14:52 (UTC +04:00)
Baku. Nijat Mustafayev – APA-Economics. Last week the Azerbaijani capital market witnessed one of the most notable events in its current history- for the first time at Baku Stock Exchange there was a placement of 25 000 000 USD worth unsecured interest-bearing registered book-entry callable convertible bonds issued by UniBank. A bond with a face value of 10 000 USD if the certain conditions met could be converted into 4053 ordinary shares of the company.

The coupon rate of the bond is 8% plus prevailing interbank rate. The bond will mature in 5 years and the coupons will be paid semi-annually on April and October 15th . The total issue was fully subscribed at face and purchased by two investors.

The development of the corporate securities market is one of the main priorities in the Strategic Plan for 2010-2012 of Baku Stock Exchange. It worth mentioning that in well developed markets financing via corporate debt is more commonly used versus traditional borrowing from banks since it is cheaper and usually provides bigger amount of funds.

The issue prospectus of the Unibank’s bonds was published on the BSE’s website under the “Issuers” section (www.bfb.az).
1 2 3 4 5 İDMAN XƏBƏR
#
#

THE OPERATION IS BEING PERFORMED