MOSCOW Dec 7 Russia's Evraz, one of
the country's largest steelmakers, is considering a convertible
bond issue, and is aiming to conduct the deal next year, two
banking sources told Reuters on Wednesday.
"The company was thinking about doing this (the deal) this
year but as far as I know has moved these plans to the next
year," one of the sources said. Sources did not provide the
possible amount of the deal.
Convertible bonds, a debt instrument, can be replaced by the
company's equity under certain conditions. The sources did not
specify the conditions, or the reasons for Evraz to consider the
In an investor presentation in October, Evraz said it aims
to cut its net debt-to-EBITDA ratio to 2 from 4.9, which was its
level in the first half of this year. Evraz net debt stood at
$5.3 billion at the end of June.
Evraz, with operations in Russia, North America and some
other locations, is majority owned by Roman Abramovich and his
partners Alexander Abramov, Alexander Frolov and others.
(Reporting by Olga Popova, Oksana Kobzeva, Svetlana Burmistrova
and Katya Golubkova; editing by Christian Lowe)