Moody's rates Promsvyaz Finance notes B1

Moody's Investors Service said it assigned a rating of prospective B1 to the issue of medium-term loan participation notes to be issued by Promsvyaz Finance SA.

Moody's said the rating is based primarily on the strength of the structure and the protection furnished to holders of the notes by certain early amortization events, the ability of Promsvyazbank, 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 SPV's rights to amounts due under the fiduciary deposit agreement and in certain circumstances to repayments made under the loan, the charge over and assignment of certain rights and interests by the SPV and J.P. Morgan Bank Luxembourg SA made under a trust deed in favor of the trustee for the benefit of noteholders under English law and triggers linked to the performance of the loan and to the ability of J.P. Morgan Bank Luxembourg SA to act as fiduciary.

The proceeds of the notes are to be deposited in a fiduciary deposit account in Luxembourg established with J.P. Morgan Bank Luxembourg SA and used for the purpose of making the loan to Promsvyazbank.

© 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.