Holders of $500 million worth Eurobonds of the Russian oil and gas pipe producer TMK have agreed to change conditions of a 2020 issue sold at 6.75%, the company said in a statement on November 16.
In late October, the company offered several changes to the conditions, including a release of TMK’s U.S. subsidiary IPSCO Tubulars Inc. from obligations under its guarantee. TMK planned to continue considering “a range of strategic alternatives” for IPSCO, while changes to the conditions will allow TMK to “pursue the optimal strategy for the group to maximize the value of its holding in IPSCO Tubulars,” the company said then.
TMK will pay $6.25 per each $1,000 nominal value of the bonds, if creditors agree that TMK will use the major part of revenue from the strategic projects to redeem the debt. (Prime/Ukrainian metal)