LONDON, April 19 (IFR) - Russia's government has canvassed
opinion from international banks about their working on its
forthcoming bond deal.
The sovereign has sounded out international investment banks
through a London-based advisor, Newstate Partners, according to
Newstate Partners did not respond to a request for comment.
One banking source said the deadline to express views passed
last week and that any bank that showed interest is likely to
receive an RFP as part of a formal mandate process.
Russia is expected to issue a US dollar-denominated Eurobond
in the coming weeks.
Although the sovereign is not subject to US or EU sanctions,
international banks have been wary of working on a bond deal,
after deciding the reputational risks of participating in a
sovereign transaction outweighed the potential boost to
Last May, Russia sold its first US dollar new issue in
nearly three years, with VTB Capital acting as sole lead manager
after international banks came under pressure from US and EU
authorities not to underwrite the bond.
That US$1.75bn offering was tapped in September for a
further US$1.25bn, again with VTB Capital acting as sole lead
(Reporting by Sudip Roy; editing by Philip Wright and Alex