NOMOS-BANK participates as arranger and underwriter in 13 issues totalling 61.8 milliard Roubles in H1 2008

In the first half of 2008, NOMOS-BANK partook as arranger and underwriter in 13 bond facilities, the total volume of which reached 61.8 milliard Roubles.

The Bank acted as arranger of 4 issues totalling 17 milliard Roubles moving up from place 12 
(as of 1 January 2008) to place 8 in the overall rating of internal market arrangers, and from place 9 to place 7 in the rating of corporate sector arrangers.

During the first six months of 2008, NOMOS-BANK also became underwriter with respect to 13 issues of bond loans. Among their issuers are representatives of the corporate sector
(AFK Sistema, Soyuz Bank, Far East Generating Company, Promsvyazbank, Rosselkhozbank, Sevkabel-Finance, Trans-Container, KhKF-Bank) and issuers representing the municipal segment: Moscow and Samara regions, and the Republic of Yakutiya (Sakha).

Russian bond market dynamics in the first half of 2008 was affected by the pressure caused by the inflow of negative news from the global financial markets.

“The volume of initial placements naturally decreased, the investors justly demanded higher premiums for risks, and the issuers were getting accustomed to new higher coupon interest rates, — says Valeriy Golovanov, Director of NOMOS-BANK Debt Finance Department. — As a logical consequence, the issues of the borrower’s credit quality and financial discipline came to the foreground”.

Debt re-financing problems have highlighted the relevance of issuer support services during the realization of the offer.

“NOMOS-BANK offers a broad range of products and possesses substantial financial capabilities, which has allowed us to offer our partners, turning to the Bank for support, high quality services related to arranging secured realistion of offers, — points out Valeriy Golovanov.

In H1 2008, NOMOS-BANK carried out 7 deals involving the arrangement of offer realisation, the total volume of issues reached 12.8 milliard Roubles, and the volume of securities placed among new holders at the time of the offers exceeded 5.5 milliard Roubles.

Our key objective in providing this service is to ensure maximal comfort for the issuer during the realisation of the offer, which allows the issuer not to withdraw significant amounts of funds from circulation”, — points out Valeriy Golovanov.