Emerging markets dominated by new issues; Nomos, Raspadskaya, Agrokor and KfW price notes

By Aleesia Forni

Columbus, Ohio, April 20 - Emerging markets continue to be dominated by new issues, according to one London-based source.

However, a New York syndicate source saw a quieter session, adding that Friday was not a "go-day."

Equity markets were up, while the credit index was 2 basis points tighter near the end of New York's session, the source added.

The Markit iTraxx SovX CEEMEA index, which tracks Central and Eastern Europe, the Middle East and Africa credit- default swaps, traded at 295 bps during the Friday London session, 2 bps tighter than Thursday's close.

Emerging market bond funds brought in $675 million for the week, according to a figure provided by fund-tracker EPFR Global.

One syndicate source believes next week will be more active than the past week, as various banks are expected to come to market after earnings are reported.

Nomos 10% notes

In the primary market, Nomos Bank (Ba3//BB) priced a $500 million issue of 10% notes (B1//BB-) due 2019 at par on Friday, according to a syndicate source.

Citigroup Global Markets Ltd., J.P. Morgan Securities Ltd. and VTB Capital were the bookrunners for the Regulation S and Rule 144 A deal.

The notes were issued through Nomos Capital plc.

Nomos Bank is a Moscow-based lender.

Raspadskaya 7¾% notes

OAO Raspadskaya headed to the market during Friday's session, pricing a $400 million issue of 7¾% notes (B1//B+) due 2017 at par, according to a market source.

Initial guidance was set at 7%.

One market source remarked that pricing was "way too rich."

Goldman Sachs, Morgan Stanley and VTB Capital managed the Kemerovo, Russia-based coal mining company's deal.

Agrokor 9 7/8% notes

Also in the primary, Agrokor dd priced a €300 million of seven-year senior notes (B2/B) at par to yield 9 7/8% on Friday, according to a market source.

The yield printed at the tight end of price talk that was set in the 10% area.

As previously reported, a proposed dollar-denominated tranche was withdrawn from the market.

BNP Paribas, UniCredit SpA and J.P. Morgan Securities LLC were the joint bookrunners.

The Zagreb, Croatia-based consumer food products company plans to use the proceeds to refinance debt.

KfW add-on

Friday also saw Frankfurt-based KfW price R$100 million of 6 7/8% notes at 101.152, according to a market source.

HSBC managed the German government-backed bank's deal.

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