Piazza Cordusio continues to issue covered bonds. After placing a one billion bond with a coupon of 1,875 per cent and maturing in 2019 and a covered one of 500 million through Unicredit Bank Austria, the group launched a new seven-year bond in euro, for a benchmark amount.
The move came after testing the waters among major institutional investors and receiving orders one and a half times higher than the yield on offer. The guarantee comes from Italian residential mortgages, with a fixed-rate coupon with a spread of 100 basis points on the corresponding midswap rate, maturing in August 2020.
The banks in charge of following the operation are IMI, Deutsche Bank, JP Morgan, Lloyds, Santander and Unicredit itself and the ratings expected by the agencies are A2, AA+ and A respectively for Moody's, S&P's and Fitch. For the final price we will have to wait another 24 hours, but - according to the operators - the yield should be around 2 percent.
And in the meantime Unicredit flies to the Stock Exchange. Around midday, the stock stood at 4,532, up 2,72 percent.
