Evraz wants to buy the bonds of Raspadskaya for $400 million

The Evraz Group has sent an offer to buy the securities at face value to owners of Eurobonds of Raspadskaya Securities Limited for $400 million maturing in 2017, a source in banking circles reports.

The company has already agreed on the repurchase with the holders of 38.5% of this volume (bonds for $154.1 million).

Applications will be accepted until November 6th, the results will be announced on November 9th.

Evraz’s representative confirmed to the Interfax that the company intended to repay $400 million of Raspadskaya’s Eurobonds in order to optimize the debt portfolio of the holding company. According to recent reports as of end of the first half of the year, the total debt of Raspadskaya was about $486.3 million, it decreased by 3% as compared with the same period as of end of 2014. The company’s net debt decreased by 1%, to nearly $471 million.