KYIV, May 30 – The holders of GDP warrants of Ukraine from June 2 this year will be entitled to a payment of $205.43 for every $1,000 of the face value of these securities, but Ukraine will adhere to the moratorium introduced on August 27 last year until their restructuring is completed, the stock exchange report says.

"Ukraine remains committed to implementing a comprehensive, fair and equitable restructuring of GDP-linked securities to ensure compliance with the debt targets set in Ukraine's IMF program and the principle of comparability of treatment with Ukraine's official bilateral partners," the document states.

According to it, the current issue concerns the scheduled payment on GDP warrants, which is to be made for the 2023 base year. Based on calculations made as of April 30, 2025 in accordance with the terms of their issue, the payment amount is $665.454 million. The total nominal amount of GDP warrants issued is $3.239 billion, of which Ukraine previously redeemed securities with a total nominal value of $604.262 million.

The notice also notes that after June 2, 2025, GDP warrants will be traded cumulatively with any payment amount not paid on June 2, 2025, unless market participants agree otherwise.

The Ministry of Finance, from April 15 to April 23, Ukraine held a meeting with members of the special committee of owners of about 30% of GDP warrants and presented two options for their restructuring, which can be applied simultaneously. The first involves exchanging GDP warrants for an additional issue of eurobonds that were issued as part of the restructuring in 2024: investors will receive the same set of A and B series bonds as eurobond owners last year, in the ratio: for each unit of warrants - 1.35 units of bonds.

The second option is to change the terms of the GDP warrants issue as follows: payments for 2025-2028 are canceled; Ukraine's ability to redeem/cancel GDP warrants will be extended until May 2029 with a progressive increase in the redemption price from 85 cents in 2026 to 100 cents in 2029. The restructured warrants (with payments in 2029-2041) will have the same characteristics as the existing warrants, except for the redemption option, and their holders will additionally receive 36.6 cents of eurobonds A and eurobonds B for every 100 cents of warrants.

The restructuring requires the consent of 75% of the holders by the aggregate nominal value of GDP warrants from those present at the meeting of holders, provided that a quorum is present. (om/ez)