Friday, October 30, 2015

Ministry of Finance of Ukraine statement on settlement of debt restructuring

The Ministry of Finance of Ukraine is pleased to announce that the settlement of Ukraine's debt restructuring, including delivery of new Ukrainian sovereign securities to holders entitled thereto, is expected to occur on 12 November 2015. The terms of the restructuring were approved by 13 series of  outstandingsovereign and sovereign guaranteed bonds at bondholders meetings held on 14 October 2015.
The only series of Ukrainian bonds which did not approve the terms of the restructuring, and whose holders will accordingly be ineligible to receive new sovereign securities on the settlement date, is the December 2015 USD3bn bond. 
Settlement of the exchange offer will result in the restructuring of c.US$15bn of Ukraine’s external debt, achieve a 20% debt reduction for Ukraine (c.US$3bn) and allow Ukraine to avoid paying any of the previously scheduled US$8.5bn of principal falling due under such bonds during the next four years.

This success represents the outcome of seven months of intensive work of all Ukrainian authorities, coordinated by the Ministry of Finance, to convince Ukraine's bondholders of the necessity of a debt restructuring.


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