Citi Puts Forward A Unique Debt Deal To Fund Ukraine Reconstruction: Report

Citigroup (C) has reportedly been looking to put together a deal that would help Ukraine fund its reconstruction.

According to a Bloomberg News report, this is an attempt by Citigroup to secure its place in what could be a big financing opportunity in the coming years. The U.S. bank has been gauging investor interest in a possible deal since late last year, the report added.

Retail sentiment on Citigroup remained unchanged in the ‘neutral’ territory, with chatter at ‘low’ levels, according to Stocktwits data. Citigroup shares were down marginally in early trading.

The deal would enable the state-owned grid operator NPC Ukrenergo to refinance a portion of its debt under more favorable conditions, Bloomberg added. The savings from this deal could support efforts to eventually restore Ukraine’s power grid, which has been repeatedly targeted by Russia.

Citigroup is said to have started working on the deal proposal shortly after U.S. President Donald Trump was elected in November, a time when hopes were high regarding an end to Russia’s war in Ukraine, Bloomberg said, citing people familiar with the matter.

However, the interest from investors has been mixed due to the quickly changing landscape in Ukraine, the report added. Trump’s talks with Russian President Vladimir Putin on Friday are likely to play a key role in influencing the final terms of the deal, Bloomberg noted.

Shares of Citigroup have gained over 32% so far this year and jumped 55% in the last 12 months. 

For updates and corrections, email newsroom[at]stocktwits[dot]com.

Also See: ‘Big Short’ Investor Michael Burry Cuts Stake In Estee Lauder By A Whopping 25% – More Details Inside

Share

·

Add us on