Romania's electricity transmission company Transelectrica is launching a bond issue in December 11-18 , expecting to raise RON 200mn [ EUR 45mn ], Ziarul Financiar daily announced. The target yield of the issue is 5.4-6.4%, while the actual yield will be set two days before the subscription period – namely on December 16 . In case investors do not buy the entire amount, the issue manager – BCR bank, will buy the remaining bonds up to the target size. The company's shareholders approved on September 30 borrowing operations in the amount of up to RON 900mn [ EUR 200mn roughly] to be carried out in 2013-2017. The debt will be issued in either the local leu currency or in euro. The money will be used to finance investments in the power transport network, but also to re-finance outstanding liabilities of Transelectrica with the purpose of reducing the interest rate and exchange rate risks, the daily explains. The subscription period can be extended in case not enough investors express their interest – while it can also be shortened to only five days in case the target size of the issue is already met by that time.
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