Romania's Romgaz launches EUR 500 mln FX bond amid massive demand
<p>Romanian natural gas group Romgaz (BVB: SNG), controlled by the state as the majority shareholder, successfully raised EUR 500 mln in an FX senior unsecured bond with a 5-year maturity, largely aimed to fund Neptun Deep offshore project where the company holds a 50% stake, amid an abundant volume of orders placed by investors, according to <a href="https://www.economica.net/romgaz-a-emis-cu-succes-obligatiuni-internationale-de-500-de-milioane-de-euro-cererea-din-partea-investitorilor-a-fost-de-12-ori-mai-mare_776928.html?mc_cid=d9b0121732&amp;mc_eid=cd1f92f96c" rel="noopener" target="_blank">Economica.net</a>.</p>

<p>The investors placed orders for over EUR 5.9 bln of FX bonds.</p>

<p>The issue was launched at MS+255 (4.776%), 55 basis points below the initial indicative level, according to the company's CEO, Razvan Popescu.</p>

<p>"The capital raised will be essential in supporting key projects such as Neptun Deep and in further strengthening our leadership position in the energy sector," Razvan Popescu commented.</p>

<p>In 2023, the final investment decision was made for the development of the Neptun Deep offshore project, with potential recoverable reserves of 100 billion cubic meters of gas, in which Romgaz is a partner alongside OMV Petrom. Estimated investments for the development phase of the project are up to EUR 4 bln, of which Romgaz must contribute EUR 2 bln.</p>

<p><em>iulian@romania-insider.com</em></p>

<p><em>(Photo source: Inquam Photos/Adel Al-Haddad)</em></p>