Avesta Investment Group advised the debut corporate bonds issue of Artel Electronics LLC (Artel)
Avesta Investment Group is honored to announce that our company advised the debut corporate bonds issue at the Tashkent Stock Exchange for the leading Central Asia’s largest electronics and home appliance manufacturer Artel Electronics LLC (Artel). Three issues for a total of 30bln UZS (approx. $2.7mln) with maturities of 12-18 months and a coupon interest rate of 21-22.5% and quarterly payments were placed on Friday. Funds are already used to replenish the company's working capital.
We saw the strong interest from the local institutional investors among banks and insurance companies for such type of product. The final book for the placement was closed with oversubscription with the participation of local institutional and international retail investors.
Artel became the largest fully private company to issue and list securities through public trading on Tashkent Stock Exchange. The issuance is Artel's natural next step as the company continues to align with international standards across its operations, providing an opportunity to access new forms of financing. This transformation has been facilitated by the Group’s 2020 consolidation under the umbrella company, Artel Electronics LLC.
Avesta Investment Group is the pioneer of the Uzbek capital markets with almost 20 years of experience. The company was engaged in the debut of corporate bond issues of leading institutions such as Almalyk Mining JSC and Uzbektelecom JSC. The current bond issue for Artel symbolizes the new turn of the company activity on the debt market, where we see significant potential for local private companies.
About the companies:
Artel Electronics LLC, the holding structure of the Artel group of companies, was founded in 2020 as part of the process of consolidation of the group and improving the quality of corporate governance in the group. Artel is also one of the first private companies in Uzbekistan to receive an international credit rating from Fitch. The group provides work for around 10,000 employees in all regions of Uzbekistan. Currently, Artel products are exported to more than 20 countries of the CIS and the Middle East, and the group is also a regional partner of internationally renowned brands including Samsung, Shivaki, and Viessmann.
Avesta Investment Group LLC is a leading investment banking firm founded in Tashkent in 2003 and currently operating in the Central Asian and Caucasus region. The firm provides financial and M&A advisory services, arranges debt and equity capital, and conducts equity and economic research. The basis of the company's clientele is foreign portfolio and strategic investors, as well as local private companies. Since 2010, the company has been the exclusive partner for Uzbekistan of the New-York based international brokerage firm AuerbachGrayson operates in more than 120 countries.