UBI Banca successfully launched its first senior non-preferred bond issue on Thursday 5th April. This is a 5-year fixed-rate benchmark issue for an amount of €500 million under the Group's EMTN Programme.
During the morning, orders were received from around 130 investors, for a total of around €1 billion.
The final allocation saw 50% of the subscription by Italian investors and the remaining 50% by foreign investors, with a strong presence of French investors (21%) followed by German and Austrian investors (10%), UK ( 7%), Spanish (7%), Swiss (4%) and others (1%).
Subscriptions by investment funds and private bankers (62%) prevailed, followed by banks (26%) and insurance companies and pension funds (12%).
The influx of orders during the placement process made it possible to reduce the initially announced spread to Mid Swap + 145 area, allowing the transaction to be priced at 140 basis points above the 5-year mid-swap rate, with a coupon of 1,75% payable in arrears on 12 April each year. The re-offer price was set at 99,877% and the related yield to maturity at 1,776%.
The settlement date will be 12 April 2018. The maturity date is set at 12 April 2023.
The Joint Bookrunners responsible for distributing the security are: Banca IMI, Barclays, Credit Agricole CIB, HSBC, Natixis, Santander.
