UPDATE 1-Vimpelcom hires banks for dollar, rouble notes

Wed Feb 6, 2013 9:55am EST

MOSCOW Feb 6 (Reuters) - Reuters news and analytical service, Vimpelcom has guided Vimpelcom, which has telecoms assets in Russia, Italy and various emerging markets, is to issue notes denominated in dollars and roubles to refinance existing obligations.

Vimpelcom plans to issue a five-year rouble Eurobond with the initial guidance set at the 9 percent area, a banking source told Reuters on Wednesday.

According to IFR, a Thomson investors for pricing at mid-swaps plus 425 basis points for six and 10-year dollar Eurobonds.

Vimpelcom said on Wednesday that Barclays, Citigroup, ING, and Royal Bank of Scotland will lead manage the financing.

Vimpelcom, co-owned by Russian billionaire Mikhail Fridman's Alfa-Group and Norwegian telecoms group Telenor, had gross debt of $26.6 billion at the end of September 2012, of which $2 billion matures this year.

Russian borrowers raised a total of around $53 billion via Eurobond issues in 2012 and have issued more debt this year to profit from positive risk sentiment towards emerging markets.

Sberbank - Russia's largest lender, state development bank VEB, and fertilizer firm Phosagro also have plans to tap the debt market.

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