”Naftogaz” was partially able to agree with the debt holders on the postponement of payments

Naftogaz successfully negotiated with holders of Eurobonds due in July 2024 — 77% of investors voted "yes" and agreed to postpone debt payments for two years.

The company announced this on August 21.

In this way, the company can pay off the debt in the amount of €600 million not in 2024, but in 2026, and it will start paying interest on it in 2024. The amount of interest deferred during 2022-2024 is €90 million (€45 million per year).

Holders of Eurobonds due in November 2026 did not support the new extension proposal at the repeat meeting. In the near future, "Naftogaz" will contact the government with a proposal to develop a joint position regarding further actions on debt restructuring.

• On July 26, Naftogaz announced that the government did not allow payments on Eurobonds and that the company is in default. Prior to that, on July 21, the government obliged Naftogaz employees to take any actions regarding Eurobonds only after separate agreement with the Cabinet of Ministers. In order to do this, Naftogaz applied to the government in advance for payments on Eurobonds — the company stated that it had the funds in its accounts for this. However, "Naftogaz" stated that the government did not allow the company to fulfill its obligations to the owners of Eurobonds (it is about the principal amount and interest), but demanded to agree on the restructuring of the debt.