“I’m very pleased with the results. Though the issue was placed in a very short time on a volatile market, we managed to place the whole issue and received the rate as projected. And we are happy that investors believe in HMS and its future”
February 05, 2013
HMS Hydraulic Machines & Systems Group plc
(the “Company”, and together with its subsidiaries, the “HMS Group”)
HMS GROUP SUCCESSFULLY PLACED ITS BOND ISSUE OF RUB 3 BN
Moscow, Russia – HMS Group (LSE: HMSG), the leading pump and compressor manufacturer as well as the provider of flow control solutions and related services to oil and gas, nuclear and thermal power generation and water utilities sectors in Russia and the CIS, today announces that it successfully placed Rub 3 bn corporate bonds issue of ZAO “Hydromashservice”, the main operational subsidiary of the Group.
Despite a market volatility, the issue was oversubscribed. According to book-building results, a coupon rate was set at 10.10% per annum (lower than a mid-level of a 10.00% - 10.25% price guidance).
The maturity of HMS’ bonds is 5 years with a 3-year put option and semi-annual coupon periods. Coupon rate of 10.10% is set for the first 6 coupon periods.
Lead-Arrangers of the transaction are VTB Capital and Sberbank CIB. The main demand for the issue was from Russian banks, asset management and investment companies and some subsidiaries of foreign financial institutions.
“I’m very pleased with the results. Though the issue was placed in a very short time on a volatile market, we managed to place the whole issue and received the rate as projected. And we are happy that investors believe in HMS and its future,” - commented Kirill Molchanov, First Deputy General director and CFO of HMS Group.
For more information, please, contact:
Nozima Karimova, Head of Press Service
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Inna Kelekhsaeva, Deputy Head of Capital markets
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HMS Group is the leading pump and compressor manufacturer as well as provider of flow control solutions and related services to the oil and gas, nuclear and thermal power generation and water utilities sectors in Russia and the CIS. HMS Group’s products are mission-critical elements of projects across a diverse range of industries. It has participated in a number of large-scale infrastructure projects in Russia, including providing pumps and modular equipment to the Vankor oil field and pumping stations on recent trunk pipelines projects linking Russia’s core oil producing areas to export ports on the Pacific Ocean and Baltic Sea. The Group reported revenues of Rub 23.6 billion, adjusted EBITDA of Rub 4.0 billion and profit for the period of Rub 1.5 billion for the 9 months ended September 30, 2012. The HMS Group’s global depositary receipts (“GDRs”) are listed under the symbol “HMSG” on the London Stock Exchange.
THIS COMMUNICATION DOES NOT CONSTITUTE AN OFFER OF, OR THE SOLICITATION OF AN OFFER TO BUY OR SUBSCRIBE FOR, GDRs OR OTHER SECURITIES TO ANY PERSON IN ANY JURISDICTION TO WHOM OR IN WHICH SUCH OFFER OR SOLICITATION IS UNLAWFUL AND, IN PARTICULAR, IS NOT FOR RELEASE, PUBLICATION OR DISTRIBUTION IN OR INTO THE UNITED STATES, AUSTRALIA, CANADA, JAPAN OR THE RUSSIAN FEDERATION.
THIS ANNOUNCEMENT IS NOT AN OFFER FOR SALE OF ANY SECURITIES IN THE UNITED STATES. SECURITIES MAY NOT BE OFFERED OR SOLD IN THE UNITED STATES ABSENT REGISTRATION OR AN EXEMPTION FROM REGISTRATION UNDER THE US SECURITIES ACT OF 1933, AS AMENDED (THE “SECURITIES ACT”). THE HMS GROUP HAS NOT REGISTERED AND DOES NOT INTEND TO REGISTER ANY PORTION OF ANY OFFERING IN THE UNITED STATES OR TO CONDUCT A PUBLIC OFFERING OF ANY SECURITIES IN THE UNITED STATES.
THIS COMMUNICATION IS ONLY BEING DISTRIBUTED TO AND IS DIRECTED ONLY AT (I) PERSONS WHO ARE OUTSIDE THE UNITED KINGDOM OR (II) INVESTMENT PROFESSIONALS FALLING WITHIN ARTICLE 19(5) OF THE FINANCIAL SERVICES AND MARKETS ACT 2000 (FINANCIAL PROMOTION) ORDER 2005 (THE “ORDER”) AND (III) HIGH NET WORTH ENTITIES, AND OTHER PERSONS TO WHOM IT MAY LAWFULLY BE COMMUNICATED, FALLING WITHIN ARTICLE 49(2) OF THE ORDER (ALL SUCH PERSONS TOGETHER BEING REFERRED TO AS “RELEVANT PERSONS”). THE SECURITIES REFERRED TO IN THIS ANNOUNCEMENT ARE ONLY AVAILABLE TO, AND ANY INVITATION, OFFER OR AGREEMENT TO SUBSCRIBE, PURCHASE OR OTHERWISE ACQUIRE SUCH SECURITIES WILL BE ENGAGED IN ONLY WITH, RELEVANT PERSONS. ANY PERSON WHO IS NOT A RELEVANT PERSON SHOULD NOT ACT OR RELY ON THIS DOCUMENT OR ANY OF ITS CONTENTS.