Public Joint Stock Company MegaFon has priced Ruble bonds at 9.95% p.a. coupon rate. The subscription for the Ruble-denominated exchange bonds in the amount of RUB 10 billion for a tenor of 3 years (the Bonds) was open from 11am to 4 pm on April 28, 2016. The transaction attracted substantial interest in the investor community with a broad spectrum of participants.

The overall demand for the bond offering led to oversubscription by more than 3 times. Investors' appetite allowed the company to reduce the initial marketing coupon guidance several times from 10.20-10.40% p.a. to 9.95-10.00% p.a. and set the final coupon rate for the Bonds at the lower border of the final marketing range. Gazprombank, Sberbank CIB, Raiffeisenbank and UniCredit Bank acted as the lead arrangers of the Ruble bonds issue.

Gazprombank is acting as the placement agent. Allocation of the Bonds to investors will occur on the Moscow Exchange on May 12, 2016.