SOFIA, May 15 (Reuters) - State energy company Bulgarian Energy Holding (BEH) plans to tap global capital markets next year to refinance a maturing 500 million euros ($548.4 million) Eurobond, its deputy chief executive officer said on Monday.
The new bond would likely raise less than 500 million euros as the energy firm was yet to consider how much it needed, Severin Vartigov said on the sidelines of an energy forum.
“We are planning a new bond issue next year. In the beginning of 2018 we will start the process to choose lead managers for the bond. We will place when the markets are favourable,” Vartigov told reporters.
“The new bond is likely to be again for a five-year term and its proceeds will be used to repay the maturing bond in November 2018,” he said.
BEH, which has long-term rating of BB- with a stable outlook by credit ratings agency Fitch and Ba2 with stable outlook by Moody‘s, raised 550 million euros in a five-year global bond issue with a yield of 5.1 percent in July .
With total assets worth more than 6 billion levs ($3.37 billion), BEH is made up of Bulgaria’s biggest state energy firms for power generation, supply, transmission and storage of natural gas, as well as for coal mining.
$1 = 1.7828 leva $1 = 0.9118 euros Reporting by Tsvetelia Tsolova; Editing by Edmund Blair