Sovcomflot is selling bonds, hoping to survive the sanctions

The sanctioned russian state-owned shipowner Sovcomflot (SCF Group) is planning a second issue of replacement bonds.

Back in September, Sovcomflot decided to issue two bond issues that will replace the company’s Eurobonds. Already at the end of October, the company placed the first 430,000 bonds with redemption in April 2028. The issue of the second series will contain 498,400 bonds with a nominal value of 1 thousand dollars, with redemption in June 2023, Trade Winds reports.

The total nominal value of the bonds corresponds to the outstanding Eurobonds issued by SCF Capital Designated Activity Company that remain in circulation. The russians plan to make payments to investors in rubles.

Currently, the russians are trying to reassure the markets that they are “reliable financial players”.

“As a responsible and reliable borrower, Sovcomflot confirms that it is committed to fully fulfilling its obligations and has the necessary financial resources for this,” the company said in October.