According to the statement released by rating agency Fitch, MHP is planning to place Eurobonds for USD 300-350 million. Fitch rated issue at B(exp) and expected rating of return of assets at RR4(exp). Funds attracted were stated to be used for termination of short-term debt, increase of the land bank and increase of liquidity. Fitch stated that issue of bonds will increase debt size, however will improve short-term liquidity of the company.

AgroInvest comment: MHP will be the first Ukrainian agrarian holding to issue bonds in 2013. We expect other companies of Ukrainian agrarian sector to follow through with similar deals to attract funding in 2013.         

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