Naftogaz made a new offer to creditors

In the past, the company did not agree with creditors on a postponement of payments, which allowed a default.

Naftogaz sent a second request to holders of Eurobonds for permission to postpone payments to them for two years, the exchange said on Wednesday, August 3.

Unlike the first request, the NAC proposes to postpone the payment and, accordingly, extend the circulation for two years not only for Eurobonds-2022, but also for Eurobonds-2024 and Eurobonds-2026.

“The requested deferral of maturities and interest payments, in terms of cash flows, is broadly consistent with the terms and conditions proposed by other Ukrainian-owned state issuers and the terms included in the consent request initiated by the Ukrainian Sovereign on July 20, 2022,” the statement said.

Naftogaz noted that the new request was approved by the Cabinet of Ministers.

The government strongly encourages investors to support these proposals, “which are part of Ukraine’s efforts to proactively manage its debt obligations and the debt obligations of important state structures to investors, while prioritizing the important strategic objectives,” the NAC notes.

The deadline for voting on request is 16:00 on August 12, and the meeting and announcement of the results is scheduled for August 17.

Recall that on July 26, Naftogaz announced a default on Eurobonds. The company put all the responsibility for the current situation on the Cabinet of Ministers, which prohibited any actions on Eurobonds without approval. Also, NAC stressed that they have enough money for payments.

In its turn Correspondent.net thought what Naftogaz’s default would lead to.

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