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Megafon to issue eurobonds worth up to $1.5bn


2009-11-13

MegaFon is to issue eurobonds worth up to $1.5bn at the end of 2009 or the beginning of 2010, Business Petersburg reported. In the first phase, the eurobonds will be issued in the number claimed, then the company will carry out a demand-adjusted issue.
The company has reserves worth RUB 59.3bn ($2.1bn), and total debt of RUB 38.3bn ($1.3bn). According to financial analysts, the funds raised may be spent by MegaFon on purchasing assets, possibly in the field of fixed-line telephony. There are also speculations that MegaFon will invest the money in building its own fibre-optic network.

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