Thursday, October 19 2017 18:40
Karine Melikyan

Converse Bank placement of the second tranche of dollar bonds in the amount of $ 4 million completes the issue of the first issue with a total volume of $ 10 million

Converse Bank placement of the second tranche of dollar bonds in the amount of $ 4 million completes the issue of the first issue with a total volume of $ 10 million

ArmInfo. Converse Bank, by placing the second tranche of USD coupon bonds in the amount of $ 4 million, completes the issue of the first issue with a total volume of $ 10 million. As the press service of the Bank told ArmInfo, the initial placement of the second tranche of USD bonds started on October 19. On the first tranche of the USD issue, the primary placement started on May 5 this year and ended on May 16, and on May 26, the entry into the listing list was held.

Bonds of the second tranche of the USD issue also have a circulation period of 2 years, a face value of $ 100, and once per half-year, coupon payments are provided. The annual yield on the coupon in the second tranche is 5.25%, while in the 1st tranche it was 5.75%.

"This time, as in the previous one, there was a high interest in the market for Converse Bank's bonds. We continue to expand the range of investment products for clients in the framework of the envisaged development strategy, and the Bank's bonds, as an alternative to deposits, take precedence in this list," said the financial director of Converse Bank Hrant Hakobyan.

After completion of the initial placement, the second tranche of USD bonds will be listed on the exchange and will be quoted on the corporate bond market. Previous issues of Converse Bank's bonds are already listed on the main list of the Abond stock exchange NASDAQ OMX Armenia.

On the secondary market as of October 16 this year the yield of convertible USD bonds of Converse Bank amounted to 5.63% with buy-backs and 5.33% on sale, while AMD corresponded to 10.5% and 9.95% respectively. "This indicates a high demand for these bonds and confidence in the Bank," G. Hakobyan concluded, adding that the bonds are guaranteed by the Fund for Guaranteeing the Refund of Individual Deposits in proportion to the amounts of guaranteed deposits.

As of October 19 2017 on the NASDAQ OMX Armenia stock exchange, the first tranche of the $ 6 million USD issue of Converse Bank issued on May 5 this year is listed and the past listing on May 26 in the same, as well as the AMD 1 billion issue, issued on August 3 2017 and passed the listing on September 15. The yield on the USD bonds of the Bank was 5.75%, and on AMD - 10.5%. In both cases, the circulation period is set at 2 years, and coupon payments are provided once in six months. Converse Bank has been operating in the Armenian market since September 1996. As of January 1, 2017, the Bank's shareholders are Advanced Global Investments LLc (hands-Eduardo Ernekian) - 80.94%, HayPost Trust Management B.V. - 14.06%, the Cathedral of the Mother See of Etchmiadzin - 5%, and the indirect holder of 100% of shares is Holding Company "Blakery Assets" LTD. As of October 1, 2017 Converse Bank assets totaled 233.4 billion AMD, liabilities - 198.7 billion AMD, and total capital - 34.8 billion AMD.

In total, 23 issues of USD bonds of 10 issuers are quoted at the NASDAQ OMX Armenia as of October 19, 2017, of which 19 issues are issued by 7 banks: Araratbank (5), Ameriabank (4), Armswissbank (4), Anelik Bank (3), one USD tranche from Armbusinessbank, Converse Bank and Unibank. In addition, 2 EUR tranches are listed on the exchange - one each from Ameriabank and Armswissbank.


News
Proceeds of Armenia`s trade sector $5.2bln in Jan-Oct 2021Proceeds of Armenia`s trade sector $5.2bln in Jan-Oct 2021
4.1% increase in proceeds of Armenia`s communication sector in  Jan-Oct 2021 4.1% increase in proceeds of Armenia`s communication sector in  Jan-Oct 2021 
Double-digit growth in alcoholic beverages output in ArmeniaDouble-digit growth in alcoholic beverages output in Armenia
Revenues of Armenia`s textile industry more than doubled in 10 monthsRevenues of Armenia`s textile industry more than doubled in 10 months
Electricity generation in Armenia decreased by 3.1% in 10 monthsElectricity generation in Armenia decreased by 3.1% in 10 months
Armenia`s metallurgy industry accelerates growthArmenia`s metallurgy industry accelerates growth
HSBC Armenia Named Best Cash Management Bank by 2021 Euromoney Cash Management SurveyHSBC Armenia Named Best Cash Management Bank by 2021 Euromoney Cash Management Survey
Production volumes of aluminum foil in Armenia decreased by 5% per  annum in 10 monthsProduction volumes of aluminum foil in Armenia decreased by 5% per  annum in 10 months
Informed means protected: IDBankInformed means protected: IDBank
Industrial production growth accelerated due to revitalization of  manufacturing industryIndustrial production growth accelerated due to revitalization of  manufacturing industry
Armenia is negotiating for export of Armenia is negotiating for export of "Sputnik Light" vaccine to  countries of Middle East and Africa
Russia and China are Armenia`s leading trade partners in both export  and importRussia and China are Armenia`s leading trade partners in both export  and import
Growth of Armenia`s foreign trade turnover significantly exceeds  pre-COVID ratesGrowth of Armenia`s foreign trade turnover significantly exceeds  pre-COVID rates
Regular container trains start to run from China to GeorgiaRegular container trains start to run from China to Georgia
MP: Armenian authorities directed expensive borrowed funds to curb  devaluation of dram MP: Armenian authorities directed expensive borrowed funds to curb  devaluation of dram 
Opposition MP: The optimism underlying the draft state budget of  Armenia for 2022 is a purely political trickOpposition MP: The optimism underlying the draft state budget of  Armenia for 2022 is a purely political trick
Armenia`s economic activity recovers very slowlyArmenia`s economic activity recovers very slowly
Artur Khachatryan: Armenia faces an infrastructure trapArtur Khachatryan: Armenia faces an infrastructure trap
9.6% annual inflation in Armenia in Nov. 20219.6% annual inflation in Armenia in Nov. 2021
Belarus is interested in strengthening cooperation with Armenia in  field of high technologiesBelarus is interested in strengthening cooperation with Armenia in  field of high technologies
GITC, IBM to implement artificial intelligence education programme GITC, IBM to implement artificial intelligence education programme 
Japanese government to provide grants for implementation of 2  programs in Armavir and Lori regions  Japanese government to provide grants for implementation of 2  programs in Armavir and Lori regions  
Armenia`s developers to submit documents online soonArmenia`s developers to submit documents online soon
Armenia`s vice-premier calls for larger share of national currencies  in EAEU tradeArmenia`s vice-premier calls for larger share of national currencies  in EAEU trade
EDB to intensify work in ArmeniaEDB to intensify work in Armenia
Ardshinbank named the Best Bank of the Year by The Banker international magazineArdshinbank named the Best Bank of the Year by The Banker international magazine
EDB analysts have no assessment of economic benefits that Armenia  will receive from unblocking of regional transport corridorsEDB analysts have no assessment of economic benefits that Armenia  will receive from unblocking of regional transport corridors
Greenhouse for growing roses to be built in Aragatsotn region of  ArmeniaGreenhouse for growing roses to be built in Aragatsotn region of  Armenia
Gnel Sanosyan: Unfortunately, there have been cases of revealing  design and construction flaws during implementation of subvention  programsGnel Sanosyan: Unfortunately, there have been cases of revealing  design and construction flaws during implementation of subvention  programs
Armenian entrepreneurs appealed to PM to extend embargo on import of  Turkish goods Armenian entrepreneurs appealed to PM to extend embargo on import of  Turkish goods 
EDB Analyst: Armenia`s public debt level will remain above  pre-pandemic level until 2026EDB Analyst: Armenia`s public debt level will remain above  pre-pandemic level until 2026
EDB ready to provide loan for construction of Meridian highway of  Europe-Western China transport corridorEDB ready to provide loan for construction of Meridian highway of  Europe-Western China transport corridor
IFC ready to participate in reforms in Armenia IFC ready to participate in reforms in Armenia 
42% year-on-year growth in net private money transfers to Armenia in  Jan-Oct 202142% year-on-year growth in net private money transfers to Armenia in  Jan-Oct 2021
Armenia Securities Exchange  introduced corporate bond exchange  indices for the first time in regionArmenia Securities Exchange  introduced corporate bond exchange  indices for the first time in region
6.3% rise in real estate prices in Armenia`s capital this Oct6.3% rise in real estate prices in Armenia`s capital this Oct
Central Bank of Armenia joins Sustainable Banking and Financial  NetworkCentral Bank of Armenia joins Sustainable Banking and Financial  Network
EDB formulates idea of  Eurasian transport frameworkEDB formulates idea of  Eurasian transport framework
Tigran Balayan presented Armenia`s investment opportunities to  representatives of Dutch business sectorTigran Balayan presented Armenia`s investment opportunities to  representatives of Dutch business sector
Global businesses set to battle for talent as hiring plans fuel growth ambitionsGlobal businesses set to battle for talent as hiring plans fuel growth ambitions
Armenia`s gross international reserves increased by 38.2% per annum  by November 2021Armenia`s gross international reserves increased by 38.2% per annum  by November 2021
Vahan Kerobyan will take part in Second Eurasian Congress in MoscowVahan Kerobyan will take part in Second Eurasian Congress in Moscow
Statistics: Armenia`s GDP increased by 11.1% per annum in 9 months of  2021Statistics: Armenia`s GDP increased by 11.1% per annum in 9 months of  2021
New power plant of 254 MWe launched in YerevanNew power plant of 254 MWe launched in Yerevan
As of November 20, 2021, tax collection in Armenia exceeded  pre-crisis index of 2019 by 4.5%As of November 20, 2021, tax collection in Armenia exceeded  pre-crisis index of 2019 by 4.5%
Association of Restaurateurs reacted negatively to new decision of RA  Health Ministry Association of Restaurateurs reacted negatively to new decision of RA  Health Ministry 
ANIF, Masdar company discuss Ayg-1 project ANIF, Masdar company discuss Ayg-1 project 
Unpredictable pandemic situation, steadily high inflation remain major risks to scenario of Armenia`s  economic development - EDBUnpredictable pandemic situation, steadily high inflation remain major risks to scenario of Armenia`s  economic development - EDB
US$30m OPEC Fund loan to Ameriabank to promote sustainable energy and support small businesses in ArmeniaUS$30m OPEC Fund loan to Ameriabank to promote sustainable energy and support small businesses in Armenia
One Success Story: Trimming the SpiritsOne Success Story: Trimming the Spirits
EDB projects 2.9% growth in aggregate GDP of Bank`s member states in  2022EDB projects 2.9% growth in aggregate GDP of Bank`s member states in  2022
Representatives of Trade Mission of RF and EFSD discuss financing of  investment projects in Armenia and support for Russian exportersRepresentatives of Trade Mission of RF and EFSD discuss financing of  investment projects in Armenia and support for Russian exporters
4.3% year-on-year increase in economic activity in Armenia in  Jan-Oct, 20214.3% year-on-year increase in economic activity in Armenia in  Jan-Oct, 2021
New operator of Meghri FEZ plans to build a food packaging plantNew operator of Meghri FEZ plans to build a food packaging plant
Government subsidies to Syunik region reached 1.1 billion drams Government subsidies to Syunik region reached 1.1 billion drams 
Armenian authorities consider building three more bypass roads in  Syunik regionArmenian authorities consider building three more bypass roads in  Syunik region
Armenian government approves signing of Agreement on navigation seals  in EAEUArmenian government approves signing of Agreement on navigation seals  in EAEU
Contract for Kaps reservoir construction put out to tenderContract for Kaps reservoir construction put out to tender
VPOS number steadily increasing in Armenia  VPOS number steadily increasing in Armenia  
Non-cash plastic transactions continue to gain momentum; 30%  threshold in total volume has already been passedNon-cash plastic transactions continue to gain momentum; 30%  threshold in total volume has already been passed
Read more


Exchange rates
07.12.2021
RUB6.62-0.04
USD492.411.38
EUR555.140.37
GBP652.791.73
CAD387.574.04
JPY43.32-0.05
CNY77.260.18
CHF533.200.80