Joint Lead Managers on Issue of Hryvnia Denominated Eurobonds
by Ukreximbank

AVELLUM acted as the Ukrainian legal
counsel to the joint lead managers with respect to UAH4.051 billion Eurobond
offering by Joint Stock Company “The State Export-Import Bank of Ukraine (“Ukreximbank”).

The transaction was structured as an
offering of UAH4.051 billion, 16.5% loan participation notes due in 2021.

The loan participation notes are
denominated in Hryvnia, but both coupon payments and principal repayment will
be settled in US dollars. This is the second Ukreximbank’s debt instrument
denominated in Hryvnia since the debut deposit linked notes issued back in

Ukreximbank highlighted that “this public
offering has ultimately provided foreign investors with an opportunity to gain
direct exposure to the Ukrainian local currency and interest rates.” Moreover,
it enabled Ukreximbank to raise capital denominated in Hryvnia for a three-year
period, which, at this moment of time, is a practically unavailable term for local
market borrowers. This transaction will also allow Ukreximbank to proceed with
its long-term lending projects, which will help to establish favorable
conditions for the sustainable development of Ukrainian economy.

Ukreximbank is a 100% state-owned bank. It
is one of the major operators in the Ukrainian banking market, servicing a
considerable proportion of export and import activities effected by Ukrainian
enterprises. Ukreximbank acts as the sole financial agent of the Government of
Ukraine with respect to loans from foreign financial institutions.

The AVELLUM team was led by senior partner
Glib Bondar, with support from counsels Taras Dmukhovskyy and Vadim Medvedev,
senior associate Anna Melnychuk, and associates Anastasiya Voronova, Oleg
Krainskyi, and Vladyslav Aleksandrov.

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