The Ministry of Justice has officially registered a departmental document governing the issuance and placement of foreign currency-denominated bonds under the special legal regime of the Capital Market Regulatory Sandbox.
According to the document, foreign currency-denominated bonds are defined as equity securities that confirm the bondholder's right to receive the bond's face value and the income stipulated in the prospectus - both expressed in foreign currency.
Legal entities that are Uzbekistan residents, participants in the Regulatory Sandbox special legal regime, and holders of an unqualified audit opinion from an independent auditing firm on their annual financial statements are eligible to issue foreign currency bonds.
The total aggregate value of foreign currency bond issuances by a single issuer must not exceed the equivalent of $50 million USD.
Foreign currency bonds may be issued on either a secured or unsecured basis.
Unsecured issuance of foreign currency bonds is permitted up to the amount of the issuer's own equity capital as recorded on the date the decision to issue the bonds is made. Should the issuance exceed the issuer's equity capital, the issuer is required to provide collateral covering the amount by which the equity threshold is exceeded.
The National Agency for Perspective Projects will be in charge of oversight of the issuance, placement, and circulation of foreign currency bonds, as well as the payment of income and redemption of such bonds.
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