Brunswick Rail Debut Eurobond Offering Recognised as a Euromoney 2012 Deal of the Year

Feb 7, 2013

MOSCOW — Brunswick Rail, Russia's leading private freight railcar operating lessor, is pleased to announce that its debut Eurobond issue has been named a 2012 Deal of the Year for Central and Eastern Europe by Euromoney Magazine.

The company priced its debut US$600 million 5-year Eurobond with an annual coupon rate of 6.5% in October 2012, with proceeds from the issue envisioned to support the Company's growth strategy, while also enabling it to diversify its sources of funding and to optimize its capital structure.

In spite of complex global market conditions, the order book was five times oversubscribed, with more than 200 investors participating, including a broad range of investors from the United States and Europe. Goldman Sachs, Raiffeisen Bank International, UBS and VTB Capital acted as joint lead managers for the placement.

Euromoney's annual Deal of the Year awards aim to recognise the deals that broke records, reopened markets, innovated or succeeded despite challenging market conditions.

Commenting on the award, Brunswick Rail CFO Nicholas Pascault said: "We are very pleased with the success of the Eurobond, the warm reception from investors and, now, the recognition by a leading financial publication. Not only was this our debut Eurobond, but it was also the first Eurobond from a Russian railcar operating lessor. With this transaction we achieved our primary goal for last year and put the company on a very strong competitive footing going into 2013. The transaction was skillfully organized and very well timed with the market thanks to our joint lead managers.

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