The Siberian Cement holding company (Kemerovo) will begin placing a R800m debut bond issue on June 16.
The first bond issue of the company was registered by the Federal Service for Financial Markets on May 24, 2005. The issue comprises 800,000 securities with a R1,000 nominal value. Maturity is three years. Securities will be placed at par value. The loan envisages six semi- annual coupons. The underwriter is the ZEenit bank, co- underwriter - Gazprombank. Siberian Cement plans to reinvest proceeds from the bond issue into retooling, the refinancing of earlier loans and the holding’s further territorial expansion. If successful, Siberian Cement will undertake an IPO and enter the European investment market with ADRs.
The Siberian Cement holdings is comprised of the Topkinsky cement mill, Krasnoyarsk cement mill, Volna and Angarsk cement milling plant.