Daily monitor

Avangard [AVGR LI, N/R], a leading Ukrainian agricultural holding that specializes in the production of eggs-in-the-shell and egg products, has placed five-year Eurobonds worth USD 200 mln with a 10% coupon and yield to maturity at 10.5% per annum. Avangard plans to use the funds raised for repayment of up to USD 170 mln of short-term debt held by the Company, as well as to enhance the liquidity of the holding.

In 3Q10, Ukrsotsbank posted a net income of USD 0.74 mln. 9M10. The bank finished with USD 3 mln.

Agricultural companies in Ukraine harvested 39.1 mln tonnes of grain and leguminous crops as of October 22, with an average yield of 2.76 tonne per ha. Agricultural companies processed only 14.2 mln ha of sowing area this season. Agrarians have sown about 8.6 mln ha with winter crops.

Agroton Public Ltd [A2TA GR, N/R], a diversified vertically integrated agricultural producer in eastern Ukraine, will place 26.2% of its shares on the Warsaw stock exchange at a price of PLN27 (USD 9.44), which is PLN 3 (USD 1.05) lower than the maximum offered price. The company will raise about USD 53.5 mln in the IPO. The offering comprises 5.67 mln newly issued ordinary shares.

The Antimonopoly Committee of Ukraine has allowed MHP to buy 3 agro enterprises in the Khmelnitskiy region: co-op "Ukraine", LLC "Balance", and "Start". Co-op "Ukraine" owns a subsidiary “Lanovetskoe” in the Ternopil region, which is involved in agriculture. LLC "Balance" and "Start" are involved in the production of grain and industrial crops and in cattle breeding and swine production.

Raiffeisen Bank Aval posted a net loss of USD 0.13 million in 3Q10, while in 1Q10 and 2Q10 the bank had USD 2.77 million and USD 1.76 million of net income, respectively. In 9M10, Bank Aval finished with USD 4.4 million.

AvtoKrAZ Holding [KRAZ UK] has supplied 14 KrAZ-65055 dump trucks to Tupolanghydrokurillish. The trucks are for construction of a reservoir on the Tupolang River. Last year, Uzbek companies purchased 30 of these trucks for construction of another reservoir on the Rezaksai River.

By another court ruling, received lately, Ukrnafta was allowed to sell 140 mln cm of its natural gas, previously pumped into underground storages, to industrial users. The gas will be supplied to chemical producers Dniproazot and Cherkassyazot.

Sintal [SNPS GR, BUY] has harvested 282.6 thsd tonnes of crops, which is 17% less than in 2009. In particular, the Company harvested 119.2 thsd tonnes of wheat (down 47% YoY), 13.8 thsd tonnes of barley (2.4 times less than in 2009), and 35.8 thsd tonnes of corn (6% YoY lower). In turn, the Company increased sugar beet harvest by 2.8 times – up to 46.6 thsd tonnes; sunflower by 3.7 times – up to 36.0 thsd tonnes; and corn by 31% – to 35.8 thsd tonnes. This result was caused by a decrease in crop yields due to adverse weather conditions.

In the third quarter, the net loss in the Ukrainian banking system equaled UAH 10 bln.