TINKOFF CREDIT SYSTEMS ISSUES A EUR 70m BOND

Egidaco Investments Limited, the parent company of ‘Tinkoff. Credit Systems’ Bank (“Tinkoff”), a Russian specialized credit card bank fully licensed by the Central Bank of Russia, has issued a EUR 70 million bond to a broad group of international investors. E. Öhman J:or Fondkommission acted as advisor to Tinkoff.

The senior unsecured bond matures on June 24, 2011 and has a fixed annual coupon of 18.0%. Tinkoff will apply for listing the bond at the OMX Nordic Exchange Stockholm no later than December 31, 2008.

Tinkoff is a specialized Russian credit card bank operating a branchless model and acquiring customers via direct mail and through selected partners. Since the launch of its commercial operations in June 2007, Tinkoff has issued 170,000 credit cards to consumers throughout Russia making it one of the fastest growing consumer finance businesses in Russia in this period.

Tinkoff has attracted EUR 70 million in a global capital market that has been characterized by a prolonged period of uncertainty, particularly in the last few months. Issuing a bond of this volume under such turbulent market conditions confirms the attractiveness of Tinkoff’s strategy, business model and management team.

As a result of the bond issue, Tinkoff has secured financing to grow its credit card portfolio in a rapidly growing and underserved Russian credit card market. Following the bond issue, Vostok Nafta Investment, an investment company listed in Sweden, will subscribe for USD 30 million of shares in Egidaco, making them a shareholder along with the founder Oleg Tinkov and Goldman Sachs.


Egidaco Investments Limited

For additional information

Oliver Hughes, CEO
tel: +7 495 648 1000
e-mail: o.hughes@tcsbank.ru web: www.tcsbank.ru/en/