NLMK, a leading global steel company, today announces the closing of its debut USD 500 million 7 year Eurobond offering with an annual coupon rate of 4.95%. Interest payments on the Eurobonds are payable semi annually. The proceeds from the issue will be used for NLMK's general corporate purposes including the refinancing of its debt.

The order book was almost 6x oversubscribed, indicating a high level of demand from a broad range of international investors, including investors in the United Kingdom, the United States, Switzerland as well other European investors, Asian investors and MENA investors. Approximately 60% of the issue was purchased by asset managers.

Deutsche Bank AG, London Branch, JP Morgan Securities and Société Générale acted as the Joint Lead Managers for the offering. The 4.95% Loan Participation Notes due 2019 were issued by Steel Funding Limited an Irish company formed for the purpose of issuing the Notes.

Ms Galina Aglyamova CFO of NLMK said that "We are extremely pleased with the positive market reaction to our debut Eurobond offering. The 4.95% coupon represents the lowest coupon ever achieved for a benchmark Eurobond issue among Russia's non state owned companies. The success of the placement reflects the high level of investor confidence in the quality of NLMK's assets and its strategy. The issue provides us with long-term financing at attractive terms and gives NLMK more flexibility in achieving its strategic goals."

Source - NLMK

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