Ukrainian Eurobonds holders are still determining the fate of their GDP warrants, the total nominal value of which is $3.2B. On August 1, in addition to the payment for Eurobonds maturing in 2026, Ukraine must pay holders of GDP warrants about $210M. This payment includes the amount that Ukraine had to pay at the end of 2021 and a 5% commission to warrant holders for agreeing to a two-year pause in debt service.
During the restructuring negotiations, the Ukrainian side tried to advance the concept that a default on GDP warrants would not cause a cross-default on Eurobonds.
Different from Eurobonds, GDP warrants are much more difficult to restructure. In order to make significant changes to the terms of their circulation, it is necessary to secure the support of 75% of warrant holders, while for Eurobonds the consent of 66.6% of the owners of all bond issues and more than 50% for each of the 13 issues is sufficient.