NewsAllen & Overy: Unprecedented exchange offer and new bonds issuance by CZECHOSLOVAK GROUP

Allen & Overy announced today that it has advised Česká spořitelna, in its role as the Coordinator, the Joint Lead Manager, the Joint Exchange Manager, the Calculation Agent, the Listing Agent and the Fiscal and Paying Agent, UniCredit Bank Czech Republic and Slovakia as the Joint Lead Manager and the Joint Exchange Manager, and Komerční banka, as the Joint Lead Manager on the unprecedented liability management transaction by CZECHOSLOVAK GROUP a.s., involving an exchange offer, issuance of new bonds and partial cash settlement.

This is a first-of-its-kind transaction on the Czech market involving an exchange offer in respect of wholesale domestic bonds for retail domestic bonds, both admitted to trading on the regulated market of the Prague Stock Exchange.

CZECHOSLOVAK GROUP, a holding of Czech and Slovak industrial and trade companies, invited holders of its outstanding domestic bonds (due in 2021) to exchange their existing bonds for newly issued CZK 2 billion domestic bonds due 2024. The exchange offer was managed by Česká spořitelna and UniCredit Bank Czech Republic and Slovakia. Holders of CZK 771 million existing bonds accepted the exchange offer, while the remaining amount of the newly issued bonds was placed among the investors.

The Allen & Overy team comprised counsel Petr Vybíral, and associates Jana Chwaszcz and Tomáš Kafka.