Telekom Serbia raised 1.95 billion euros through an international issuance of euro- and dollar-denominated corporate bonds, N1 reports.

The company said that the transaction will enable it to refinance its existing debts on more favorable terms, extend the maturity structure of debt, as well as to further optimize its capital structure “without increasing its total debt.”

“Telekom Srbija has successfully concluded its second international corporate bond issue, raising approximately EUR 1.95 billion through a multi-session issue of senior unsecured bonds denominated in US dollars and euros,” the company said.

As the state-owned telecommunications operator highlighted in a press release, the transaction “generated exceptional investor interest, with total demand of 13.87 billion US dollars from approximately 300 leading international institutional investors.”

“The show attracted the participation of many of the world's most respected pension funds, insurance companies, sovereign-affiliated investors and global asset managers, with some of the world's top international institutions investing in the region for the first time through Telekom Srbija’s offer,” the press release said.

The company explained that the transaction was led by a consortium of leading international financial institutions, including BNP Paribas, Bank of America, Citi, Deutsche Bank, Eurobank, JPMorgan, OTP Bank, Raiffeisen Bank International and UniCredit.

“This transaction represents a turning point not only for Telekom Srbija, but also for the wider regional capital market,” the press release quoted Telekom Srbija CEO Vladimir Lucic as saying.

He emphasized that reaching 13.87 billion US dollars, with the participation of approximately 300 global institutional investors, including some of the world's most respected pension and insurance funds, “is a strong affirmation of our long-term strategy, operational performance and financial discipline.”

“Telekom Srbija is increasingly recognized not as a regional story, but as a credible international issuer with strong foundations for growth and a clear path to investment credit rating,” Lucic said.

According to the press release, the transaction will enable Telekom Srbija to refinance its existing debts on more favorable terms, extend the maturity structure of debt through different currencies and maturities, as well as to further optimize its capital structure without increasing its total debt.

Telekom said that the prices achieved in all tranches represent “a significant improvement compared to the first issue of the Company's Eurobonds.”

The state-owned telecommunications operator, whose financial statements have not yet been published by the Business Registers Agency (APR), said in the press release that, in 2025, it generated revenues of 2.3 billion euros and adjusted EBITDA of 1.3 billion euros, “further cementing its position as one of the leading telecommunications and digital infrastructure operators in Southeast Europe.”