DTEK Naftogaz provided an update on the restructuring of its Eurobonds
8 May 18:49
“DTEK Naftogaz” is restructuring its debt on $425 million in Eurobonds issued through NGD Holdings B.V. This was reported by Interfax-Ukraine , according to "Komersant Ukrainian".
According to information provided by Interfax-Ukraine, the restructuring involves a gradual repayment of the debt with final repayment deferred for three years—until December 31, 2029. The nominal yield on the bonds was increased from 6.75% to 9.875% per annum.
“The restructuring required the consent of 90% of the bondholders.”
Bondholders who agreed to the restructuring will receive a total compensation of $2.75 million. The payment will be made on May 14. This incentivizes bondholders to accept the restructuring terms.
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Debt Repayment
The increased interest rate of 9.875% will apply starting April 30, 2026. The principal amount of the debt will be paid out in installments:
- $27.5 million on April 30, 2026
- $27.5 million every six months – December 31 and June 30
The remaining debt will be paid upon final repayment on December 31, 2029.
The restructuring was necessary due to several external factors, including the NBU’s moratorium on cross-border transfers and Russian shelling, which damaged the company’s infrastructure.
“Repair work is estimated at approximately €25 million.”
In addition, the company’s revenue from gas sales declined, which also necessitated the restructuring.
Bondholders allowed DTEK Naftogaz to withhold financial reporting until the end of martial law due to restrictions imposed by the NEURC.
READ ALSO: How loan restructuring works at banks undergoing liquidation
As a reminder, creditors previously rejectedUkrzaliznytsia’srestructuring plan.
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