Ukraine's TMM seeks $150 mln, delays shorter debt
KIEV, Dec 3 (Reuters) - Ukrainian developer TMM (TR61q.DE) said on Wednesday it was in talks with an international bank to raise $150 million and had renegotiated payment of its short-term debt to November next year.
Fitch assigned TMM a 'CC' rating on Tuesday, saying the developer was "unlikely to be able to repay and to refinance its short-term maturities". Many Ukrainian developers, recently listed on junior exchanges, have been hit by the credit crunch.
"In November 2008, TMM prolonged its short-term debt obligations to November 2009, which has not been reflected in Fitch's opinion," the company said in a statement. "Today, it is in talks with two international banks to raise 130 million hryvnias ($18 million) and $150 million," it said, adding that that the hryvnia deal should be struck by February while the dollar talks are ongoing.
TMM listed on Frankfurt's alternative exchange in May 2007. Its shares have fallen 95 percent since January, trading at 0.9 euros. Shares of fellow-listed developers from Ukraine, KDD (KDDG.L) and XXI Century (XXIC.L) have fared similarly.
XXI Century said in October that there was a possible risk of it defaulting on some of its financial commitments in the near future. KDD said it still had about $65 million of cash it raised from its December IPO to service debt.
The value of TMM's portfolio was $1.494 billion as of June 30 this year. (Reporting by Sabina Zawadzki; editing by Elaine Hardcastle)
