Fesco, the Russian shipping and logistics group, said a 5 billion roubles ($156 million) domestic bond issue was more than 2 ½ times oversubscribed.
The three-year bond, with a coupon of 10.25 percent, was increased from an initial 3 billion roubles and takes the total raised by Fesco in the past month to more than $1 billion.
The company, which owns Russia’s largest ocean carrier, previously issued bonds of $800 million and $75 million, using the net proceeds to pay down its outstanding debt and debt assumed in its takeover by the Moscow-based Summa group.
The bonds will not increase the total debt for the group, Fesco said.
“The high demand for the bonds and increased offering volume confirmed the high level of investors’ confidence in Fesco group and its strategy in the transportation market,” said Yury Gilts, Fesco president and CEO.
Fesco, which is also active in ports and rail freight, earlier reported profit of $48.4 million in the three months to May 31, down from $50.3 million a year earlier on revenue up 4.7 percent higher at $275 million.