Sayenko Kharenko acted as legal counsel to The Public Joint-Stock Company “State Savings Bank of Ukraine” (Oschadbank) in respect to the bank’s reprofiling of two Eurobond issues in the amount of USD 1.2 billion. The terms of the reprofiling included an optional exchange mechanism unique for Ukrainian Eurobond deals.
The transaction involved two senior notes issues due 2016 and 2018 and was conducted in line with the requirements of the IMF’s Extended Fund Facility.
The reprofiling terms included extending the maturity of each of the notes issues by seven years, increasing the coupon and modifying the repayment schedule from bullet to amortizing repayment. In addition, Oschadbank offered the optional exchange mechanism to the noteholders, pursuant to which holders of USD 167,086,000 of the 2016 notes (2023 notes following the reprofiling) exchanged their interests in the 2016 notes for interests in the 2018 notes (2025 notes following the reprofiling) opting for longer maturity, while holders of the 2018 notes (2025 notes following the reprofiling) received pro rata allocation of the 2016 Notes.