One of the country's major fuel traders Petrol is planning to issue a €125 million eurobond, which will be offered for secondary trade at a foreign stock exchange, most likely in London. The debt placement will be voted at an extraordinary shareholders' meeting scheduled for May 8. The bond will have a 5-year maturity and fixed coupon payments. ING London has run preliminary research on investor interests and is expected to act as a lead manager. The debt issue is earmarked for refinancing short-term loans to commercial loans and release of related mortgage arrangements.

The bond maturity will also remove maturity mismatches between the current debt duration and medium- to long-term investment plans of the company. The debt consolidation could separately result into lower repayment costs in case of strong investor interest. Only a few local companies have attracted financing through eurobond placements but all of them have been considered successful.