Montepaschi returns to international markets with a new two-year senior bond. The launch of the bond aroused strong interest in the market, especially from international investors: orders reached 2,5 billion, exceeding the initial target of one billion by two and a half times.
The high level of requests led MPS to lower the official price indication to mid swap +365 basis points. The order book was closed less than 3 hours after the launch of the transaction. The bond, issued under the Euro Medium Term Notes program of Banca Monte dei Paschi di Siena, envisages an annual coupon, payable in arrears on March 7, equal to 4,5%. The minimum denomination of the issue is 100 thousand euros, in multiples of one thousand euros.
The security is not intended for the Italian retail market but for professional investors and international financial intermediaries and will be listed on the Luxembourg Stock Exchange and on the usual "Over-the-Counter" market. Banca IMI, Banca Monte dei Paschi Capital Services, JP Morgan and Natixis handled the distribution of the security as joint lead managers.
After yesterday booking a refinancing of between 10 and 15 billion at the advantageous maxi-auction of the ECB, today Monte dei Paschi runs on the Stock Exchange, earning 5% in the early afternoon.
