Russia's largest private oil company LUKOIL plans to place European
bonds worth approximately $1 billion within the framework of a
road-show, RIA Novosti reports, citing the company head Vagit
Alekperov.
Alekperov clarified that the sum will be used for current activities
and consolidation of short-term debts. The short-term debts were used
for current activities and purchase of shares from US ConocoPhillips.
The bond will be needed for 5-10 years, Alekperov said. He emphasized
that exact details will be determined after the road-show.
Road-show European bonds of LUKOIL is held on October 25-28 in the
USA, UK and Asia. Authorized banks responsible for the bonds are
Barclays Capital, ING and the Royal Bank of Scotland.
Rating agencies Fitch and S&P gave a preliminary rating of BBB- to the
issue, Moody's gave a rating of Baa2.
The new LUKOIL strategy involves investing over $10 billion in the
next 5-6 years, Alekperov said. The strategy will be operating for 10
years, he clarified.
