Naftogaz offers investors revised debt restructuring scenario

The relevant statement was made by Naftogaz of Ukraine NJSC, an Ukrinform correspondent reports.

“Renewing the trust of investors is a priority for Naftogaz. Therefore, we continue to seek a solution to restructuring the defaulted 2022 and 2026 bonds that will work both for Ukraine and for the holders. The working scenario that we are presenting today is based on our previous discussions with the creditors. At the same time, it takes into account our limited due to the war financial capabilities and governmental frames as to servicing Ukraine’s public debts – given that a half of Ukraine’s state budget is financed by our foreign partners,” Naftogaz of Ukraine NJSC CEO Oleksiy Chernyshov noted.

In particular, for the holders of the 2022 notes, the payment of principal will be deferred until July 19, 2024 (50%) and July 19, 2025 (50%); the payment of interest otherwise due on January 19, 2023, July 19, 2023 and January 19, 2024 will be deferred until July 19, 2024.

For the holders of the 2026 notes, the payment of principal will be deferred until November 8, 2027 (50%) and November 8, 2028 (50%); the payment of interest otherwise due on November 8, 2022, May 8, 2023, November 8, 2023 and May 8, 2024 will be deferred until November 8, 2024.

According to Naftogaz of Ukraine NJSC, the company prepared this working scenario after discussing with its creditors the previous working scenario published on February 2, 2023. Naftogaz’s next step will be to reach out to holders in order to consider the revised scenario.