International law firm Freshfields Bruckhaus Deringer has advised Goldman Sachs International, Morgan Stanley & Co. International plc, Troika Dialog and VTB Capital plc in relation to the issue by Open Joint-Stock Company Raspadskaya (“Raspadskaya”) of U.S.$400 million 7.75 per cent. Loan Participation Notes due 2017.

The Freshfields team advising on the deal included partners Peter Allen and Don Guiney supported by senior associate Ajit Dharmasingham, associates Brent Sanders, Lucy Harford and Claire Macknight and trainee Faye Duncan. The Moscow team included partner Mikhail Loktionov supported by senior associate Pavel Koutovoi and associates Ivan Semenkin and Araik Tonian. They were supported by Freshfields’ London dispute resolution and UK and US tax practices.

Raspadskaya is one of Russia’s largest producers of coking coal and has one of the largest reserves of coking coal in Russia. Raspadskaya principally competes in the Russian domestic market; the Asian export market; and the Ukrainian export market. Raspadskaya’s shares are traded on the Russian Trading System (RTS) and the Moscow Interbank Currency Exchange (MICEX). The Notes are one of the highest yielding primary bonds issued in the CEEMEA region this year and their issuance is a positive sign to the market in that it demonstrates increased investor willingness to invest in lower rated credits. The transaction marks the entry by Raspadskaya into the U.S. market using the Rule 144A exemption provided for in the US Securities Act.

Peter Allen, partner in the debt capital markets team at Freshfields said, ’This transaction, along with several others closed by the team recently, is an example of the strength and depth of Freshfields’ international debt capital markets team and of client demand for a seamlessly integrated offering’.