OAO Gazprom (GAZP), the world’s biggest natural-gas producer, plans to sell bonds in euros for the first time since July, according to a person familiar with the matter who asked not to be identified as the details aren’t public.
The Russian gas exporter hired Credit Agricole SA (ACA), OAO Gazprombank and JPMorgan Chase & Co. as joint lead managers for the possible sale, the person said. The company plans investor meetings in Munich on March 11 and in Paris on March 12, according to the person.
A deal would see Gazprom returning to debt denominated in the currency of its main export market for the first time since July 11, when the Moscow-based company sold 750 million euros of international debt due 2017 priced to yield 3.759 percent. On July 26, Gazprom tapped the issue, selling an additional 650 million euros of the bonds, which traded at a yield of 2.549 percent as of 4:40 p.m. in Moscow today.
The Gazprom delegation at the meetings will include Chief Financial Officer Andrey Kruglov, the person said.
Gazprom, which supplies about a quarter of the European market with gas, aims to borrow in the same proportion of currencies as its revenue, Kruglov said in 2011.
About 37 percent of Gazprom’s net sales to Europe are denominated in euros, the company said, according to a copy of the prospectus for a dollar bond sale in January, seen by Bloomberg News.
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