Herbert Smith has acted as counsel to the Russian state corporation “Bank for Development and Foreign Economic Affairs (Vnesheconombank)”, the principal development bank of the Russian Federation, in connection with the offering of US$1 billion 6.025% loan participation notes due 2022 that closed on 5 July 2012. The notes, issued under Vnesheconombank’s existing US$30 billion loan participation notes programme, are listed on the Irish Stock Exchange and were placed in the United States pursuant to Rule 144A under the US Securities Act and outside the United States in reliance on Regulation S. Crédit Agricole, Deutsche Bank, HSBC and J.P. Morgan were the underwriters.
The Herbert Smith team was led by head of our Russian capital markets practice Evgeny Zelensky, supported by Moscow-based senior associate Stanislav Grigoryev, associates Alexander Privezentsev, Maria Krugovykh, Elena Ivanova and Anna Wong. London-based partner Peter Epp and associate Nicholas Rutter led on the English law documentation and partner Steve Thierbach and associate Anna Vashutina assisted on the US securities matters.
Evgeny Zelensky commented:
“This was a great transaction and important credential, particularly in the current difficult market conditions. The bond placement was a success, and according to the official press-release of Vnesheconombank, the issued bonds are being quoted on the secondary market at a price exceeding their par value. We also previously represented Vnesheconombank on their Regulation S Swiss Francs 500 million placement under the same programme.”
