Rostelecom announces RUB 10 bln Bond placement

Coupon rate set at 6.85% per annum

Moscow, Russia – November 27, 2019 – Rostelecom PJSC (MOEX - RTS: RTKM, RTKMP; OTCQX: ROSYY), Russia’s national telecommunications operator, today announces the placement of its 002P-01R[1] series bonds at a coupon rate of 6.85% per annum. The bonds, with a total nominal value of RUB 10 billion have a maturity of 6 years with a nominal value of RUB 1,000 each. The 002P-01R series Rostelecom bonds are expected to be placed at the Moscow Exchange (MOEX) on December 5, 2019. The funds from the bonds placement are expected to be used for the refinancing purposes. The lead arrangers of the offering are VTB Capital, Sberbank CIB, Gazprombank.

Sergei Anokhin, Senior VP and CFO:

“Amid low inflation and easing monetary policy by regulators there has been a growing trend of reducing the cost of rouble-denominated funding. This paves the way for optimisation of the structure and cost of our debt. I am pleased to see great interest from investors, as we managed to attract long term money at a very attractive rate. This allowed us to make Rostelecom’s debt portfolio “cheaper” and “longer” leveraging the positive momentum in the capital markets. Strong demand was partly driven by the decisions of major rating agencies to affirm Rostelecom’s credit ratings following the announcement of the Tele2 Russia consolidation.”

Further information is available at https://www.company.rt.ru/en/ir/news_calendar/.