Dentons advises Eldik Bank on Kyrgyzstan's first international sub-sovereign Eurobond issuance

London-Dentons has advised Eldik Bank OJSC on its debut issuance of Rule 144A/Regulation S US$500 million 8.50% senior unsecured notes. The transaction marks the first-ever international bond issuance by a corporate or financial institution issuer from the Kyrgyz Republic, underscoring the ongoing development of the country's capital markets and the increasing confidence of investors in its economic prospects. The bonds are listed on the International Securities Market of the London Stock Exchange.

Eldik Bank is one of the largest banks in the Kyrgyz Republic, with a well-diversified portfolio across retail, corporate and SME segments. As a leading financial institution, it plays a strategic role in supporting the country's economic activity and financial sector development.

This transaction reinforces Dentons' leading role in debt capital markets in Central Asia. Most recently, Dentons advised ForteBank on its debut issuance of US$400 million Rule 144A/Regulation S 7.75% notes due 2030 in January 2025, which was awarded "Debut Financial Institutions Bond of the Year" at the GBM CEE Central Asia and Türkiye Awards 2025. Dentons also acted for ForteBank on Kazakhstan's first international perpetual AT1 Eurobond issuance and SQB on the first AT1 issuance by an Uzbek bank. Kyrgyzstan is also the second jurisdiction in the past month from which Dentons have advised on the debut international issuance, alongside advice to the lead manager on the issuance by Albania's Banka Kombetare Tregtare Sh.a. of €150 million fixed rate reset senior unsecured notes due 2032.

A cross-border Dentons team acted as English and US securities law counsel to Eldik Bank. Milan-based capital markets partner Tamer Amara and London-based capital markets and US securities partner Cameron Half led the team, which included Amsterdam-based senior associate Ali Imanalin and London-based associate Pichrotanak Bunthan. San Francisco-based partner Linda Pfatteicher provided US tax advice.

Eldik Bank's Head of Project Management Office, Nurlan Omuraliev said: "Executing a debut international bond issuance required not only careful preparation, but also advisers who understood both our strategic objectives and the expectations of international investors. Dentons' ability to anticipate issues, navigate complexity and maintain momentum was instrumental in helping us bring this landmark issuance successfully to market."

Tamer Amara commented: "The successful completion of this inaugural international bond issuance by the first non-sovereign issuer from Kyrgyzstan is a landmark achievement for Eldik Bank and for the evolution of the country's financial markets. The transaction reflects Eldik's strong fundamentals, strategic ambition and commitment to diversifying its funding base, while opening a new channel of access to international capital. We are proud to have advised on a transaction that we expect will serve as an important precedent for future financial institution issuers from the region".

Grata International served as Kyrgyz law counsel to Eldik Bank.

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