(Finance) – Banca Monte dei Paschi di Siena (MPS) has successfully concluded the placement of a Covered Bond issue with a 5-year maturity, intended for Italian and foreign institutional investors, for an amount of 750 million euros.
This is the first issue of European Covered Bond (Premium) carried out by the Bank after the transposition of the European harmonization directive on covered bonds, which allows for further diversification of financing sources. Confirming the high interest in the Group on the part of Italian and foreign investors, orders exceeded 2.3 billion euros, allowing the coupon to be set at a level of 3.5%, at a re-offer price of 99.919%.
The bond has an expected rating of Aa3 / AA- / AA (Moody’s/Fitch/Morningstar DBRS), expiring April 23, 2029.
The issue was placed with approximately 60 institutional investors. The geographical distribution highlights a widespread national and international interest with the following subdivision: UK and Ireland 47%, Italy 20%, other European countries 22%.
Banca Monte dei Paschi di Siena SpA, Barclays, Crédit Agricole CIB, Deutsche Bank, Banca IMI-Intesa Sanpaolo and NatWest Markets handled the placement as Joint Bookrunners.
The listing of the securities will take place on the Luxembourg Stock Exchange.