(Telestock) – BPM Bank successfully completed a new Social Senior Non Preferred issue, with a six-year maturity and the possibility of early repayment in September 2029, for an amount equal to 750 million euros.
The orders peaked at €3.3 billion, with requests from over 190 investors, confirming investors’ recognition of the Banco BPM name. Over half of the allocated orders had an ESG connotation.
The title was issued at a price equal to 99.546% and pays a fixed coupon of 3.875%.
The bond, which is reserved for institutional investors, was issued under the issuer’s Euro Medium Term Notes Programme and has an expected rating of Baa3/BB+/BBB-/BBB(low) (Moody’s/S&P/Fitch/DBRS).
This is the third Social Bond among the nine issues under the Green, Social and Sustainability Bonds Framework. The proceeds will be used to refinance Eligible Social Loans, as defined in the Bank’s Framework, published on 7 November. In particular, the collection will be aimed at refinancing loans granted to Italian SMEs, located in economically disadvantaged areas.
disadvantaged.
The Framework is integrated into Banco BPM’s ESG strategy and represents the concrete implementation of the environmental and social sustainability objectives that increasingly direct and characterize the Bank’s various business areas.
The investors who participated in the operation are mainly asset managers (61%) and banks (17%), while the geographical distribution sees the prevalent presence of foreign investors (including France with 35%, Ireland and the United Kingdom with 19% and Nordic countries with 7%) and Italy with 28%.
Banca Akros (related party of the issuer1), BofA Securities, Citi, Crédit Agricole CIB, HSBC, Natwest Markets and JP Morgan acted as Joint Bookrunners. Crédit Agricole CIB also acted as Green and Social Structuring Advisor.