Intesa Sanpaolo launches a buybacks of up to one and a half billion of nominal value on subordinated and senior notes. The transaction "will allow Intesa Sanpaolo – reads a note – to optimize the composition of the regulatory capital by increasing its Core Tier 1 Capital, by virtue of the capital gain deriving from the purchase of the securities at a price lower than their nominal value". In the early afternoon, the stock on the Bank's Stock Exchange moved around parity.
The institute will agree to repurchase 'Tier 1' and 'Lower Tier 2' subordinated securities up to a maximum amount of one billion euro nominal at a price in the range of 80-98,5%. Senior securities will instead be accepted up to 500 million and will be repurchased at a price between 80,5 and 102,25%.
In addition, Intesa "gives holders the possibility of disinvesting in their investment in securities at higher prices than the market prices recorded during the period preceding the announcement of the call".
The invitation deadline is July 26th at 17 pm. The dealer managers of the operation are Banca IMI, Goldman Sachs International, HSBC JP Morgan Securities and Société Générale.
Last February, Intesa Sanpaolo closed a buyback on three subordinated Tier 1 securities. The subscriptions had reached a nominal amount of 1,23 billion euro. The benefit of the operation on the net income of the first quarter was 180 million euros and on Core Tier 1 by 6 basis points, at 10,5%.
