"Vodafone Ukraine" has reached an agreement with its Eurobond holders on $399.88 million to delay their maturity by two years, now set for February 11, 2027. The company proposed to partially redeem $99.88 million plus accrued interest, increase the coupon rate from 6.2% to 9.6%, and pay a reward of 2% of the nominal value.

This decision was made during a bondholder meeting on February 5, as reported by "Interfax-Ukraine".

"Accordingly, the necessary documentation has been signed and will take full effect following notification from the National Bank of Ukraine, which is expected around February 6, 2025. The payment date is anticipated to occur around February 11, 2025," the exchange information noted.

Previously, Vodafone Ukraine reached this proposal with a special committee representing 31% of the bonds and other bondholders, who collectively owned 49% of all bonds.

The company made this request to its Eurobond holders due to restrictions imposed by the National Bank of Ukraine following the onset of full-scale aggression from Russia: although the company has sufficient hryvnias domestically, it cannot use them to purchase foreign currency for redeeming bonds abroad.

At the same time, following some easing of these restrictions, "Vodafone Ukraine" is able to service the interest on the Eurobonds.

Reminder:

Vodafone has reported further declines in revenue in Germany, its key market, which has become a weak spot amid growth in the UK, Turkey, and Africa.