27 Jan 2021
Sova Capital acted as Joint Bookrunner on Sovcombank’s USD300m 4-year social Eurobond offering.
The issue has become the first-ever social Eurobond issue out of the Russian and CIS banking sectors, and the second social bond issue from Russia, following Russian Railways in December 2020.
Demand for the Sovcombank placement reached USD900m, with a broad geographical spread of institutional investors from the US, UK, EU, South-East Asia, and the UAE.
The final coupon was set at 3.4% – the lowest of any current USD denominated issue from a commercial bank in Russia/CIS.
Alina Sychova, Head of Capital Markets Origination at Sova Capital, said: “We are pleased to have contributed to the remarkable results that Sovcombank has achieved with this offering and it is a big milestone. Moreover, we see a broader positive momentum within the Russian market towards sustainable financing and are proud to be a part of this trend, by acting as a bookrunner on two pioneering deals. We hope that this represents just the beginning and that in 2021, together with our clients, we will demonstrate even more impressive results.”