Ceske Drahy issues bonds to cover debts

04_cehiaCzech state-owned railway operator Ceske Drahy has issued bonds in order to repay its previous debts. The value of the bond emission is of over Kc3bn (EUR 115.2 million), financninoviny.cz reports. The bonds have been issued in two tranches with 7-year and 20-year maturity and annual interest of 1.89 and 3 percent.
“We are using this standard way to refinance in advance our previous loans which will become due this and next year. We have obtained about one third of the necessary amount from the first two tranches under more advantageous conditions than from previous bonds,” CD board chairman Pavel Krtek said.
CD’s total debt grew to Kc36bn  (1.3 billion euros) last year. Its net debt is slightly lower.

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