(Finance) – Cassa Depositi e Prestiti announced the placement of new bonds intended for the retail market. The public subscription offer for CDP bonds, which are not subordinated and not guaranteed by the State, will start on Tuesday 7 November and will be intended only for natural persons resident in Italy.
The total amount will be equal to 1.5 billion euros. The bonds will be offered to the public from 7 to 27 November 2023, except in the case of early closure, and will be traded on the Mercato Telematico delle Obligazioni (MOT) of the Italian Stock Exchange. L’minimum investment is 1,000 euros, equal to the nominal value of each bond. The interest and other income received by the subscribers will be subject to a substitute tax equal to the preferential rate of 12.50%.
CDP bonds (ISIN code IT0005568719) will have a duration of six years (maturity in 2029), will be issued at par at a price of 1,000 euros for each bond and will be fully repaid at par and in a single installment on the maturity date. The securities will accrue interest according to a mixed rate: in a fixed amount for the first three years and variable for the following three.
During the period of application of the fixed rate, investors will receive, quarterly, in arrears, a fixed coupon equal to 5.00% gross per year of the nominal unit value of the bonds. During the period of application of the variable rate, investors will receive a quarterly, in arrears, a gross coupon indexed to the 3-month EURIBOR, increased by a margin of at least 0.90% per year. The definitive margin will be set at the end of the placement period.
Intesa Sanpaolo And UniCredit they will act in the role of placement managers and offer coordinators. The list of distributors, a network of 24 banks, is contained in the definitive conditions relating to the offer, published and available for consultation on the dedicated page of the Cassa Depositi e Prestiti website.
The proceeds from the retail bond issue, the third in CDP’s history, will allow for allocate further resources to support businesses, territory and infrastructure with the aim, consistently with the 2022 – 2024 Strategic Plan, of concretely contributing to the growth of the country.
The new issue reserved for retail customers arrives after other issues aimed at institutional investorsincluding CDP’s first Green Bond and the debut on the American capital market, with the first dollar bond issue.