Belarus May Sell Bonds With ‘Hefty Premium,’ Renaissance Says
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Belarus, a former Soviet republic bordering Russia and the European Union, may have to offer investors a “hefty premium” to sell its debut foreign-currency debt after Ukraine cancelled its sale last week, according to Renaissance Capital.
The country may need to offer a premium “in excess of 200 basis points” over Ukraine debt, or a yield of about 9 percent for five-year bonds, “in order to ensure a smooth placement,” Renaissance analysts Petr Grishin and Nikolai Podguzov wrote in a research note today.