Debevoise Advises Polyus in its $700 Million Eurobond Offering and $605.3 Million Tender Offer

15 October 2021

Debevoise & Plimpton LLP has advised longstanding client Polyus in its $700 million 7-year Eurobond offering with an annual coupon rate of 3.25%. This is the largest issuance among non-state owned companies in CIS in 2021 to date.

The proceeds from the issue will be used to finance the purchase of existing notes due 2023 and 2024 for the aggregate principal amount of $605.3 million, as well as for Polyus’s general corporate purposes. Debevoise has also advised Polyus on the related tender offer for the outstanding 2022, 2023 and 2024 notes.

Debevoise has advised Polyus on a number of significant capital market transactions in recent years. The firm advised on Polyus’s $750 million debut Eurobond issuance in 2013, two subsequent Eurobond issuances for the total value of $1.3 billion, as well as the offering and listing of depositary receipts of Polyus on the London Stock Exchange in 2017, the first offering with a listing of depositary receipts by a Russian issuer on the London Stock Exchange since 2014. Debevoise also advised on Polyus Finance’s issue of $250 million convertible bonds in January 2018.

Polyus is the world's fourth-largest gold mining company by production volumes and the largest gold miner in terms of attributable gold Ore Reserves. The company demonstrates the lowest production costs among major global gold producers. Its principal operations are located in Siberia and the Russian Far East: Krasnoyarsk, Irkutsk and Magadan regions and the Republic of Sakha (Yakutia).

The Debevoise team advising Polyus was led by Moscow partner Natalia Drebezgina and London partner James Scoville, and included associates Laurence Hanesworth, Alexey Khnalkov, Joseph Mash, and Timur Ochkhaev. Finance advice was provided by partner Alan Davies, international counsel Dmitry Karamyslov, and associate Olga S. Panfilova . Tax advice was provided by partners Cécile Beurrier and Richard Ward, international counsel Patrick Fasoro, and associate Heather Atkins.