Vodafone Ukraine completes Eurobond restructuring

Vodafone Ukraine has completed the restructuring of its outstanding Eurobonds due 2025 (the “Notes”). The restructuring transaction was undertaken in response to the currency control restrictions imposed by the National Bank of Ukraine which prevented the Vodafone Ukraine from procuring the redemption of the Notes in full at their stated maturity date (11 February 2025).

Pursuant to the terms of the restructuring, among other matters:

• the maturity date of the Notes was extended to 11 February 2027;
• the interest rate of the Notes was increased to 9.625% per annum;
• US$99,880,000 principal amount Notes were redeemed at par (together with accrued and unpaid interest); and
• Noteholders were granted a put right at par in the event of any relevant amendment to or termination of the applicable Ukrainian currency control restrictions.

The restructuring proposal was supported by Noteholders holding in excess of 95% of the principal amount of the Notes.

Background Information

Vodafone Ukraine has a strong track record in the eurobond market. In February 2020, the company successfully issued US$ 500 million principal amount of 5-year eurobonds with a 6.20% annual yield, marking the lowest pricing in the history of Ukraine’s corporate eurobond issuances.

Despite a challenging regulatory and operational environment, Vodafone Ukraine continues to meet its debt obligations on time and maintains strong liquidity. The company remains committed to engaging with all relevant parties to ensure timely future payments. The completed restructuring is [expected]/[intended] to strengthen the company’s financial stability and create optimal conditions for fulfilling its commitments to investors.