The board of Russia’s MegaFon has approved a five-series bond programme worth a total Rbs60bn (US$1.9bn) to improve its debt profile and meet refinancing targets.
The nation’s second-largest mobile operator announced today that the first three…
The board of Russia’s MegaFon has approved a five-series bond programme worth a total Rbs60bn (US$1.9bn) to improve its debt profile and meet refinancing targets.
The nation’s second-largest mobile operator announced today that the first three series of the ruble-denominated exchange bonds will each amount to up to Rbs10bn (US$317.6m). The remaining two series will each total up to Rbs15bn (US$476.4m).
The company will make a final decision on timings and terms for the placements at a later stage.
All five bonds will have ten-year maturities.
The operator reported consolidated revenues for Q1 2013 of Rbs67.72bn (US$2.15bn), up 7.6% year-on-year. OIBDA was up 26.8% to Rbs32.38bn (US$1.03bn) with an OIBDA margin of 47.8%. Net debt as at 31 March stood at Rbs100.76bn (US$3.2bn).
The company has agreed to pay Rbs40bn (US$1.3bn) in dividends.
MegaFon had 64.8 million active mobile subscribers as of 31 March, up 2.8% year-on-year.
Commenting on the results, CEO Ivan Tavrin said: “In Q1 we continued to benefit from our strategic focus on data revenue growth and cost control, which translated into higher earnings for the quarter.
“Revenue growth has been strong, not only in data services, but also in voice and in sales of equipment and accessories. Growth is set to continue as we expect a significant increase in the number of our subscribers using data services as smartphone sales and 4G coverage expand.”
