One of the largest Bulgarian dairy producers, United Milk Company (UMC), issued a EUR5m (US$5.94) corporate bond in the beginning of January. 

The five-year bond that will pay interest of 8% will be listed on the Bulgarian bourse, Reuters has reported.

As much as 70% of the bond was purchased by local investors, approximately 20% was bought by US buyers and the remaining 10% was picked up by European investors.

Cash generated by the bond will be used to refinance a EUR3m loan from Postbank, fund the reconstruction and expansion of the company's Plovdiv milk plant and complete construction of a Feta cheese production site.