SOCAR makes interest payments on bonds

The bonds of Azerbaijani State Oil Company SOCAR, which have become the most attractive and alternative securities for investments of Azerbaijan's citizens and investors, as a result of the 14th interest payment on April 17, once again brought revenue to owners worth $1.25 million, Trend reports with citing SOCAR Capital LLC.

According to the message, the overall revenue from the owners' bonds increased up to $17.5 million.

According to the data, the quarterly interest payment on SOCAR’s bonds with a face value of $1,000, maturity of five years and an annual yield of five percent, was transferred to the accounts of bondholders.

The volume of transactions in the secondary market for bonds reached $190 million, the number of transactions exceeded 2,000, which shows the high demand for them. This is the best-selling corporate financial instrument on the Baku Stock Exchange (BSE). Repo transactions on bonds amounted to $34 million.

SOCAR's bondholders can obtain short-term loans through repo transactions on favorable terms, as well as attract manat loans at a 15-16 interest rate by pledging bonds in the relevant bank. In this case, bondholders do not lose 5 percent of their income, and the actual interest rate on the loan they receive is reduced to 9-10 percent.

The next interest payment on SOCAR bonds, which can be purchased through ASAN 1 and ASAN 5 service centers, will take place on July 17, 2020. For more information, please contact the investor support service - *1999.