Ukraine war fallout: Nayara to pay higher interest after NCD downgrade

Lower rating by Care follows concerns over Rosneft's support to the Indian company after Russia invaded Ukraine and western countries imposed sanctions on the Russian entities

Nayara Energy, an affiliate of Russia’s energy major PJSC Rosneft Oil Company, will pay higher interest on its debentures after Care Ratings downgraded its debt instrument following concerns over Rosneft’s support to the Indian company after Russia invaded Ukraine and western countries imposed sanctions on the Russian entities.

A banking source said Nayara informed debenture holders that the rate of interest on its NCDs was changed from 8.75 percent per annum to 9 percent per annum effective March 17th. This was as per the terms in its debenture trust deed dated August 11, 2021 which provided for increase in interest