Russian natural gas monopoly OAO Gazprom's (GAZP.RS) planned 5.5-year, euro-denominated benchmark bond is expected to yield 8.25% to 8.50%, one of the lead managers said Wednesday.
Guidance has been tightened from around 8.75% Tuesday.
Proceeds from the bond will go towards refinancing and general corporate purposes, one the banks working on the deal said.
BNP Paribas SA and Societe Generale SA are lead managers of the transaction, for which order books are open, with the expectation of final pricing later Wednesday.
Alongside this note, the company is also issuing a five-year, dollar, benchmark bond, which is expected to yield 8.5%. JP Morgan Chase & Co. and Morgan Stanley are running this part of the deal.
Gazprom is rated Baa1 by Moody's Investors Service Inc.