ArmInfo.Ardshinbank on September 1 of this year will put up for sale a tranche of registered, coupon, non-documentary AMD bonds in the amount of 3 billion, the initial placement of which is expected to be completed on November 6.
As the prospectus of the issue posted on the Central Bank's website informs, this issue provides for 300 thousand bonds with a nominal value of 10 thousand AMD each, with a coupon yield of 9.75% and a periodicity of payments once a quarter. The maturity of bonds of this issue is March 1, 2023.
According to the issue prospectus, the Board of Ardshinbank made the decision to issue and place this tranche on May 20, 2020, and the decision of the Bank's Board was followed on August 20.
It should be noted that the previous tranche of AMD bonds with a volume of 3 billion and a coupon yield of 9.75% was issued on July 13 this year and has been listed on the AMX exchange since August 27.
According to the AMX Armenian Stock Exchange, as of August 27 of this year, 8 tranches of Ardshinbank's bonds are quoted at the exchange: 2 AMD ones in the amount of 4.5 billion AMD and 6 USD in total for $ 34 million. The circulation period of the bonds is 27 and 36 months respectively. The coupon yield on the AMD bonds is set at 10.5% and 9.75%, and on the dollar bonds - at 5.5%, 5.4%, 5.25%, 5% (for two tranches) and 4.95%, respectively. Coupon payments are made quarterly. The maturity date for AMD issues expires in 2022 (June 10 and October 13), while dollar issues expire in 2021 (September 3), in 2022 (January 10, March 16, October 13) and in 2023 (January 24 and March 16).
To recall, Ardshinbank is the first private company in Armenia to issue Eurobonds on international capital markets. The first issue of USD 75 million was issued in 2014. The second, worth $ 100 million, took place in June 2015. And on June 30, 2020, trading in Ardshinbank Eurobonds in the amount of $ 300 million, started on the AMX Armenian Stock Exchange issued in January of this year on the international capital market by Dilijan Finance B.V, and these Eurobonds are currently listed on the AMX Stock Exchange and the Irish Stock Exchange (Euronext Dublin).
According to the Financial Rating of Banks of Armenia prepared by ArmInfo IC, as of July 1, 2020, Ardshinbank holds the lead in terms of the amount of funds raised from the placement of its own bonds - 152.6 billion drams ($ 316.4 million) or 43.6% of the total market volume. In y-o-y terms, Ardshinbank ensured the growth of this indicator 4.5-fold, and an impressive increase occurred in the first half of this year in connection with the placement of a large tranche of dollar bonds.
To recall, Ardshinbank was founded in 2003. As of July 1, 2020, the majority shareholders of Ardshinbank are Arins Group LLC (formerly called Business Investment Center LLC) with a 67.97% share in the capital and REGION Industrial Financial Corporation CJSC - 29.52%. Ardshinbank is one of the leading banks in Armenia with a wide network of branches and modern mobile banking capabilities. The bank has a rating from international rating agencies Moody's and Fitch, which corresponds to the level of Armenia's country rating. At various times, various professional magazines and analysts recognized the bank as the best bank in Armenia, the bank of the year and the most reliable bank.
