Allen & Overy advises on Development Bank of Mongolia LLC’s USD500m offering
13 November 2018
Allen & Overy has advised The Hongkong and Shanghai Banking Corporation Limited, J.P. Morgan Securities plc and Morgan Stanley & Co. International plc, on Rule 144A / Reg S USD500 million 7.25% bonds due 2023, (the Bonds) issued by The Development Bank of Mongolia LLC (DBM).
This was the first time DBM transacted a bond offering without a government guarantee, thereby setting an important price reference for other Mongolian borrowers. The bonds are listed on the Singapore Exchange Securities Trading Limited.
DBM was created as a for-profit, legal and government entity in 2011 and was directed to provide financing of large-scale projects and programmes for Mongolia’s development.
Allen & Overy partner Alexander Stathopoulos comments: “We are honoured to have advised the underwriters in connection with Development Bank of Mongolia’s latest debt issuance. The success of this offering is indicative of the improved macroeconomic conditions in Mongolia and hopefully paves the way for issuances from other Mongolian issuers.”
Despite being issued under challenging bond market conditions, the Bonds were priced competitively.
Capital markets partners Alexander Stathopoulos (Singapore) and John Lee (Hong Kong) led the transaction, with support from Jaclyn Yeap (of counsel in Hong Kong), Giancarlo Sambalido (registered foreign lawyer, Hong Kong), Dane Johansen (registered foreign lawyer, Hong Kong) and Ingram Weber (associate, Singapore).
For further information, please contact Madhu Mirpuri at firstname.lastname@example.org or on +852 29747377.