Baku. 17 January. REPORT.AZ/ The State Oil Company of Azerbaijan Republic (SOCAR) made the next interest payment on the bonds, issued for the domestic market.
Report informs referring to SOCAR Capital LLC, today, SOCAR bondholders were paid a total of $ 1,250 million, including $ 12.5 per bond. The interest payment has already been transferred to the bondholders' accounts and relevant SMS was sent to investors.
This was the first profit of holders of SOCAR bonds in 2018, the most traded securities in Azerbaijan. SOCAR bonds considered for the domestic market were issued in October 2016. The annual yield of bonds with a nominal value of $ 1,000 is 5% or $ 50 for each bond per year. Interest on the bonds is paid every 3 months, 4 times a year.
Payment of interest on SOCAR bonds started in January 2017, through 4 times interest payment last year, bondholders gained profit of $ 5 mln from the securities. Thus, the bonds of SOCAR have been the securities, bringing the biggest dollar revenue to their owners last year. Today, the holders have been paid the fifth interest payment.
"The main advantages of SOCAR bonds are repayment guarantee at a nominal price by the company and high liquidity. As a result, the bond price never drop below $ 1,000 and can be converted immediately into cash.
Recently launched repo (re-purchase) operations allow bondholders to receive loans at lower interest rate (3.5% per annum) against securities.
Due to these characteristics and high profitability, population and legal persons show great interest in the bonds. Thus, the bonds of SOCAR have become the first publicly traded securities of Azerbaijan.
Citizens as well as local and foreign physical and legal persons can get SOCAR bonds from secondary market. For this purpose, they should contact the ASAN Service Centers No. 1 and No. 5 or call hotline *19 99", the statement says.