Transgaz to issue 5-year bonds worth 500 million lei at 4.5pct interest rate

The National Gas Transmission Company, Transgaz, will launch a bond issue on minimum 5 years, worth maximum 500 million lei, at maximum 4.5pct fixed interest rate, according to a report submitted on Tuesday to the Bucharest Stock Exchange (BVB).

The launching of the procedure on the issuance of corporate, unsecured, non-convertible into shares bonds, has been approved on Tuesday by the Transgaz Extraordinary General Meeting.

This bond issue is devoted to financing 'The development plan of the natural gas National Transport System in 2014-2023.'

'The company's executive and administrative management is fully responsible for the accomplishment of the demarches and for the observance of all legal provisions incidental to this operation, so that no damage can be brought to the company and its shareholders,' the report mentions.

Transgaz Medias has planned for 2015 an investment expenditure worth 631.1 million lei, according to the revenue and expenditure budget published in the Official Gazette.

The company's total revenues are estimated at 1.695 billion lei, while total expenditure at 1.251 billion lei, Transgaz going to end the year with 371.412 million lei net profit.

Transgaz recorded in the first quarter of 2015 a 199.3 million lei net profit, on a downtrend by 12pct as compared to the similar period of 2014. The company's total revenues decreased by 11pct, namely 55.47 million lei, as compared to the first three months of 2014, reaching 471.28 million lei.AGERPRES