Bonds of "GLOBAL CREDIT" CJSC listed on Armenia s Stock Exchange

ArmInfo. On December 02, 2015 the first issue of nominal coupon bonds by "GLOBAL CREDIT" Universal Credit Organization CJSC listed on the secondary Bbond list of NASDAQ OMX Armenia and the second issue of the Company's bonds admitted to trading on Cbond free market.  The bonds will be allowed to manual and REPO trading as well.

The Company's bonds first issue (ISIN-AMGLBLB21ER5) comprising of 10,000 coupon bonds with nominal value of USD 100, coupon rate of 9.5%, maturity period of 2 years will be traded under GLBLB1 ticker symbol.  The Company's bonds second issue (ISIN-AMGLBLB12ER4) comprising of 10,000 coupon bonds with nominal value of AMD 10,000, coupon rate of 15%, maturity period of 1 year will be traded under GLBLB2 ticker symbol.

CEO of NASDAQ OMX Konstantin Saroyan during the event dedicated to the listing of bonds noted that this will contribute to the activation and development of the stock market in Armenia and called for all the financial organizations to conduct IPO on the stock exchange.

The Executive Director of GlOBAL CREDIT UCO Luiza Igraryan informed that the company will spend the funds from the issue and the placement on increasing the financial services, elaborating and introducing new loan products, as well as on expanding the company's geography (by July 1 2015 the company had only one branch in Yerevan). "Notably the demand on the bonds exceeded the supply.  Particularly, purchase orders with a total value of USD 1,218,089 were placed for the Company's USD bonds and USD 1,000,089.25 were attracted from placement. Purchase orders with a total value of AMD 161,009,000 were placed for the Company's AMD bonds and AMD 100,009,000 were attracted from placement", she noted, adding that the bonds were purchased both by individuals (30%) and juridical entities (70%).

According to Igraryan, GLOBAL CREDIT was the first among the universal credit companies in Armenia to introduce its own corporate bonds in the market. "We plan to develop and implement new instruments on the financial market," she added.

Vaghinak Saroyan, CEO at Renesa Investment Company in his turn noted that his company will act as a market maker of GLOBAL CREDIT bonds and will start to perform its duties from December 4. "Starting from this day we will list the bonds every working day from the moment of opening till closing of trade session", he emphasized.

To recall, On November 17, 2015 placement of the bonds issued by "GLOBAL CREDIT" UCO CJSC took place at NASDAQ OMX Armenia.  The Company submitted for placement two tranches of coupon bonds with the total nominal value of USD 1,000,000 (1st tranche, GLBLB1) and AMD 100,000,000 (2nd tranche, GLBLB2).  Cut-off price of the USD bonds was USD 100; weighted average yield amounted to 9.495% and the cut-off yield stood at 9.5%. Cut-off price of the AMD bonds was AMD 10,000; weighted average yield amounted to 14.9901% and the cut-off yield stood at 15%.

According to the Ranking of Credit Companies of Armenia by the Agency of Rating Marketing Agency (ArmInfo), GLOBAL CREDIT is on the list of the top ten universal credit companies in Armenia in terms of the main balance sheet figures. As of 1 Oct 2015, GLOBAL CREDIT's assets amounted to 9.7 bln AMD (9th position on the market), with 87% of this amount being provision of crediting - 8.4 bln AMD (8th position). The company demonstrated 23.4% y-o-y growth in assets due to 26% rise in lending. This allowed the company to considerably increase the net profit - 3.3-fold, and the total capital - by 27% - to 1.2 bln AMD. The company holds leadership positions in ROA and ROE ranking.

To note, GLOBAL CREDIT UCO CJSC is a universal credit organization registered according to Resolution No. 267A as of 26.10.2010 of the Central Bank of Armenia, established in consequence of amalgamation of WASHINGTON CAPITAL universal credit organization CJSC and CREDIT UNION universal credit organization CJSC, which also was enlarged as a result of "GLOBAL CREDIT" UCO CJSC and "GFC GENERAL FINANCIAL and CREDIT COMPANY UCO LLC union.  Now the company is the legal consequent of "Credit Union", "Washington Capital" UCO CJSC and "GFC General Financial and Credit Company" UCO LLC.

To recall, Renesa Investment Company was founded in March 2001 and was registered in April 2001.  Since January 2002, Renesa has been a member of the Armenian Stock Exchange, which was later renamed into NASDAQ OMX Armenia. Since December 2008, Renesa has been a member of the securities registration system. The shareholders of the company are Eduard Marutyan (50%) and Araik Karapetyan (50%). In 2014, Renesa was declared as the best investment company in Armenia. Renesa has repeatedly been the underwriter and marketmaker of the Armenian issuers' bonds.