The National Securities and Stock Market Commission of Ukraine on May 30 registered the report on the results of issue of interest-bearing unsecured bonds of Nova Posta LLC of Series D with the total nominal value of UAH 800 mln without making a public offering.
According to Standard-Rating, which assigned uaAA credit rating to Nova Posta D-series bonds, they were issued with maturity from 27 to 31 January 2025 with quarterly interest payments and nominal rate of 23% per annum.
It is indicated that 29% of the funds raised will be used to support the issuer’s operating facilities, 25% to create safe spaces for the issuer’s employees and 46% to invest in BDF containers, container ships and plastic parcel containers.
As reported, in February this year, Nova Posta redeemed UAH 700 million worth of Series B bonds issued in March 2020.
The circulation term of the bond series “C” – until January 12, 2024, the nominal interest rate on it – 24% per annum.
According to “Standard-Rating”, the revenue of “New Post” in the first quarter of 2023 rose by 2.1 times or 113.2% to 8 billion 83.1 million UAH, EBITDA – almost 4.4 times to 1 billion 307.8 million UAH and net profit – almost 8 times to 1 billion 54.91 million UAH.
The NovaPay payment system from Nova Posta group will start a public offering of its debut issue of three-year bonds worth UAH 100mn on April 14.
According to the prospectus, the bonds are issued with one coupon to be paid simultaneously with maturity – from April 14 to April 20, 2026, with nominal yield of 20% per annum.
NovaPay will independently place the bonds on the PFTS stock exchange; the planned sale price is at par, but it can be revised upwards depending on demand.
The issuer does not offer a mandatory offer, but allows early redemption by agreement of the parties at an agreed upon cost between them.
Canada has issued CAD500 million in bonds in support of Ukraine, the purchase of which Canadians will help the Ukrainian government continue to provide financial support as well as help rebuild critical infrastructure, according to the Canadian government’s website.
“The Canadian government is issuing $500 million in Ukraine sovereignty bonds today, the prime minister first announced last month. These funds will help the Ukrainian government continue to provide essential services to Ukrainians this winter, such as pensions, fuel purchases and the restoration of energy infrastructure,” the report said.
It is noted that the Canadian government has partnered with participating financial institutions to offer Canadians the opportunity to purchase Ukrainian sovereign bonds with a $100 face value. “Canadians interested in purchasing this bond should contact their investment adviser or financial institution between now and November 29, 2022,” the statement said.
“Canadians who buy Ukrainian sovereign bonds will effectively be purchasing a regular five-year Canadian government bond with a current yield of approximately 3.3%, depending on market conditions at the time of issuance. Canadians can be confident in the safety of their investment, which is fully supported by Canada’s ‘AAA’ credit rating,” the agency explained.
Reportedly, after the completion of the bond issue and subject to negotiations with Ukraine, an amount equal to the proceeds of the bond issue will be transferred to Ukraine through the International Monetary Fund (IMF) account for Ukraine.
For his part, Ukrainian Prime Minister Denis Shmygal thanked his colleague Justin Trudeau and Deputy Prime Minister and Finance Minister Chrysta Freeland for their assistance.
“Today Canada issued $500 million in Ukrainian sovereignty bonds. The proceeds will help provide vital payments and services for Ukrainians this winter. Thanks to Justin Trudeau, Hrysta Freeland and all Canadians for supporting Ukraine,” Shmygal wrote on his Twitter microblog.
As reported on November 18, the Government of Canada began collecting applications to buy five-year bonds worth 500 million Canadian dollars (CAD, about 373.4 million at current exchange rates) – Ukraine Sovereignty Bonds – for financial support for Ukraine, offering to submit them until November 29 through participating financial institutions.
The Government of Canada will issue five-year bonds – Ukraine Sovereignty Bonds – to financially support Ukraine, Prime Minister Justin Trudeau said at the XXVII Triennial Congress of Ukrainian Canadians in Winnipeg on Friday.
“Canada remains unwavering in our commitment to support the people of Ukraine in their fight against Putin’s illegal and barbaric invasion, and we will continue to do everything we can to ensure Ukraine has the resources it needs to win. Now, through a bond designated for Ukraine, Canadians can contribute to this critical effort through a new federally backed investment,” Deputy Prime Minister and Finance Minister Chrystia Freeland said in a statement on the Prime Minister’s website.
Trudeau announced that the Government of Canada will issue Ukraine Sovereignty Bonds, which will help the government continue operations, including providing essential services to Ukrainians, like pensions, and purchasing fuel before winter.
The equivalent proceeds from this five-year bond will be channelled directly to Ukraine through the International Monetary Fund’s (IMF) Administered Account. This builds on the Government of Canada’s CAD 2 billion in financial assistance to Ukraine this year, the report said.
According to it, the new bonds will be offered by the participating financial institutions at denominations and rates to be announced shortly.
Those who decide to invest in this bond will actually purchase a regular five-year Canadian government bond backed by Canada’s AAA credit rating. Canada is the first country in the world outside of Ukraine to offer bonds in support of Ukraine for purchase.
To increase pressure on Putin’s regime, Trudeau also announced that Canada is imposing new sanctions on individuals and entities complicit in Russia’s invasion of Ukraine. These new measures will target 35 senior officials of energy entities, including those of Gazprom and its subsidiaries, and six energy sector entities involved in Russia’s ongoing violations of Ukraine’s sovereignty and territorial integrity. “These new measures build on the sanctions we have already implemented against over 1,400 individuals and entities,” he said.
He also announced that Canada intends to impose new sanctions on members of the Russian justice and security sectors, including police officers and investigators, prosecutors, judges, and prison officials, involved in gross and systematic human rights violations against Russian opposition leaders.
Trudeau said that the 39 armoured combat support vehicles (ACSVs) Canada announced for Ukraine in June have started to arrive in Europe, where training for the Ukrainian forces is underway, with the last expected to be delivered end of November. Since February 2022, Canada has committed over CAD 600 million in military assistance to Ukraine. Canada will continue to help Ukraine meet its urgent requirements for military and defence equipment.
The prime minister also said that Canada is allocating $55 million in previously announced funding to the International Federation of Red Cross and Red Crescent Societies, the International Organization for Migration, and the United Nations High Commissioner for Refugees and other humanitarian partners to support winterization initiatives. This includes providing shelter and distributing essential items such as blankets, clothing, heating appliances, and fuel.
In addition, the Prime Minister announced the launch of the Canada-Ukraine Science Partnership, which will invite up to 20 Ukraine-based scientists to come work and live in Canada.
According to the report, streamlining current visa and travel requirements, as of October 18, 2022, close to 315,000 applications have been approved.
monobank, which is one of the leaders in attracting individuals to the domestic government bond (OVGZ) market, has added the first foreign currency government bonds to its mobile application in the investment section.
According to the information in the application, customers will be able to purchase dollar bonds maturing on April 27, 2023 and euro bonds maturing on December 1 this year with a yield of 3.71% and 2.41% per annum, respectively.
The last additional placement of these dollar bonds by the Ministry of Finance took place on August 30 at a rate of 4% per annum, and bonds in euro – on May 24 at a rate of 2.5% per annum.
In general, 9,195 dollar and 5,491 euro securities are available for sale in the application, the par value of which is $1,000 and EUR1,000, respectively, with a total volume of issues of 494,596 and 110,026 pieces, respectively.
As reported, the possibility of such trading in currency government bonds appeared after the National Bank of Ukraine in mid-July granted the Settlement Center for Contracts in Financial Markets (RC, Kyiv), which carries out the clearing activities of the central counterparty, a license to carry out foreign exchange transactions. Thanks to this, on July 26, the RC began making settlements in foreign currency on transactions with foreign currency government bonds, and already at the end of that month – early August, such transactions began to be concluded on exchanges.
Public placement of issues of domestic bonds of the Kyiv City Council Series O and N, UAH 400 million each, will be held on the PFTS stock exchange from December 6 to December 8, according to a Friday posting on the official website of the exchange.
According to the report, the organizer of the placement of both series is state-owned Ukreximbank (Kyiv).
Settlements under the concluded agreements will be carried out without observing the delivery versus payment (DVP) principle.
As reported, by Kyiv City Council decision No. 1529/1570 dated June 24 this year, Kyiv plans to attract UAH 1.1 billion by issuing domestic bonds in three issues: UAH 300 million for Series M, UAH 400 million each for series N and O.
According to the document, the interest rate will be determined at the level of the NBU key policy rate as of the start date of the quarterly interest period plus a margin of 1% to 5% per annum based on the results of the competition for the selection of an underwriter. Proceeds from the placement of bonds will go to finance investments in the city’s infrastructure.
