AVELLUM acted as the Ukrainian legal counsel to Metinvest B.V. on:

  • dual-currency Eurobond issue, including a USD500 million
    10-year tranche at 7.75% per annum and a EUR300 million 5-year
    tranche at 5.625% per annum; and
  • a tender offer for the USD944.5 million Eurobonds due
    in 2023 to purchase for cash up to USD440 million of the paper.

This transaction is truly remarkable for the following reasons:

  • the dollar-denominated tranche is Metinvest Group’s
    longest to date with the lowest yield ever secured by Metinvest Group. The
    10-year USD financing until recently was only available to the sovereign
    borrower in Ukraine
  • the debut euro-denominated tranche was issued at the
    lowest yield ever achieved by any Ukrainian issuers in euros (including
    the sovereign)

Deutsche Bank, Natixis and UniCredit acted as joint bookrunners
of the Eurobond issue and joint dealer managers for the tender offer.

Metinvest Group is a vertically integrated group of steel and mining companies that manages every link of the value chain, from mining and
processing iron ore and coal to making and selling semi-finished and finished
steel products. It comprises steel and mining production facilities located in
Ukraine, Europe, and the US, as well as a sales network covering all key global
markets.

The AVELLUM team was led by senior partner Glib Bondar with support from associates Anastasiya Voronova, Oleg Krainskyi, Orest Franchuk, and Anna Mikhalova and tax support from partner Vadim Medvedev, associates Anton Zaderyholova, and Yelyzaveta Kravtsova.

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