Wimm-Bill-Dann Foods OJSC has announced plans to issue five-year ruble bonds. The company said yesterday (24 October) that the bonds would be a worth a total of RUB3bn (US$105m).

In a statement, the Russian dairy and juice products maker said that its board of directors approved the single issue of the bonds at its scheduled meeting last Friday (21 October). The bonds will be guaranteed by Wimm-Bill-Dann's subsidiary, Siberian Dairy Plant.

"This issue is aimed at refinancing Wimm-Bill-Dann's current indebtedness and financing future capital expenditures," the statement said.

ZAO Raiffeisen Bank Austria and Investment Bank Trust are the organisers of the issue.

Earlier, the general shareholders meeting of Siberian Dairy Plant confirmed that the plant will guarantee two of Wimm-Bill-Dann's bond issues pending approval by Wimm-Bill-Dann's board of directors.