Agro-industrial group MHP has successfully returned to the international debt markets, placing a new €urobond issue maturing in 2029 in the amount of $450m at an annual yield of 10.5%. The transaction is notable as MHP became the first Ukrainian issuer to place Eurobonds since the start of Russia’s full-scale invasion in February 2022.
The proceeds will not be used for business expansion but for debt management. MHP plans to fully redeem outstanding bonds totaling $550m with a 6.95% coupon and a 2026 maturity, in order to proactively mitigate refinancing risks. To this end, the company announced a tender offer at par plus accrued interest.
The issuer of the new bonds is once again the Luxembourg-based entity MHP Lux S.A., with the notes guaranteed by the parent company MHP SE and a number of Ukrainian subsidiaries. International rating agency S&P assigned the issue a CCC+ rating, reflecting elevated risks while also taking into account the company’s ability to service its debt under challenging conditions.
MHP emphasized that any 2026 bonds not tendered will be redeemed at par on their scheduled maturity date, in line with previously published notices. In this way, the company aims to resolve its nearest large debt obligation in a controlled and timely manner.
The market reacted positively to the placement. MHP shares on the London Stock Exchange rose by more than 10% during the trading session to $9.08 per share, the highest level since early 2020. At this price, the company’s market capitalization approached $914m. Investors interpreted the rally as a signal of confidence in MHP’s financial resilience and its ability to raise capital despite wartime conditions.
Earlier, the company indicated that the indicative yield on the new issue could be around 11%, but the final rate came in lower at 10.5%, which was also welcomed by the market. The transaction was arranged by JP Morgan SE and Ukrainian investment firm Dragon Capital.
Additional confirmation of improving investor sentiment came from the secondary market, where prices of the 2026 bonds rose to their highest levels since late 2021 following the buyback announcement. The 2029 bonds also increased notably in price, indicating growing confidence in the issuer’s credit quality.
MHP remains Ukraine’s largest poultry producer and a vertically integrated agribusiness holding. The company farms approximately 360,000 hectares of land, operates in 12 regions of Ukraine, exports to more than 80 countries, and has production assets not only in Ukraine but also in southeastern Europe, as well as subsidiaries in the EU, the UK, and the Middle East.
The company’s financial performance further supports investor interest: in January–September 2025, MHP’s revenue increased by 16% to $2.6bn, while net profit rose by more than 50% to $215m, reflecting business recovery and adaptation to wartime conditions.
