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VTB Eyes More Bonds

State-controlled VTB , the country's second-largest bank, may top up a recent $1 billion issue of perpetual eurobonds this autumn, chief executive Andrei Kostin said on Friday.

Speaking on the sidelines of the Asia-Pacific Economic Cooperation summit, Kostin said the further offering would not be larger in size than the original deal launched in July that helped bolster VTB's capital adequacy.

"We did not take a final decision yet. I think the decision will be taken this September," Kostin added. Demand for the initial bond reached $1.65 billion, with the yield set at 9.5 percent.

Lenders worldwide are struggling to bolster their capital, essential to absorb possible shocks and continue operations. With equity markets still too weak for major capital raising, lenders instead are resorting to issuing subordinated debt.

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