By Ivan Anderzhanov in Moscow
RBC Information Systems has agreed with creditors to restructure $208m in debt, which is expected to pay the way for billionaire Mikhail Prokhorov to buy 51% of the media group.
According to a report in Kommersant, RBC will convert half of the debt into five-year bonds with a 7% coupon. The rest will either be repaid or converted into eight-year bonds with a 6% coupon.
Prokhorov's Onexim Group, which last year acquired a 50% stake in Renaissance Capital, was the only bidder for RBC and is offering $80m for a controlling stake of 51%. Onexim had initially offered $35m for a 65% stake in RBC.
Analysts at UralSib said the deal was a short-term positive for the stock but cautioned that the company's level of debt was still very high while shareholders would have to face stock dilution.
UralSib said in a note: ".. even after restructuring, the company’s debt load will remain fairly high, while minorities’ stakes would be severely diluted during a new share issue. Hence, we see no fundamental reason to invest in the stock in the long-term and maintain our Sell recommendation."
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