Moody's rates Vneshtorgbank notes Baa2

Moody's Investors Service said it assigned a definitive rating of Baa2 to the series 4 $450 million 7.50% loan participation notes due 2011 issued by VTB Capital SA under a dollar debt issuance program for the issuance of loan participation notes. The notes will be used to fund a loan by Deutsche Bank Luxembourg SA to OJSC Vneshtorgbank.

Moody's also upgraded to Baa2 from Baa3 the series 1 $550 million 6.785% loan participation notes due 2008, series 2 $325 million floating-rate loan participation notes due 2005 and series 3 $300 million floating-rate loan participation notes due 2007, all issued by VTB Capital.

Moody's said the rating is based primarily on the strength of the structure and the protection furnished by early amortization events, the ability of VTB, the ultimate obligor in respect of payments under the notes, to make timely payments of interest and ultimate payment of principal on the loan, the effective segregation afforded by Luxembourg law of the rights to the fiduciary deposit account and to the loan repayments and- triggers linked to the performance of the loan and to the ability of Deutsche Bank Luxembourg to act as fiduciary.

© 2015 Prospect News.
All content on this website is protected by copyright law in the U.S. and elsewhere. For the use of the person downloading only.
Redistribution and copying are prohibited by law without written permission in advance from Prospect News.
Redistribution or copying includes e-mailing, printing multiple copies or any other form of reproduction.