Credit Europe Bank NV successfully placed subordinated bonds worth 400 million U.S. dollars on January 24, 2013 with a maturity of 10 years. Coupon rate on the bonds was set at 8.00% per annum. Citigroup Global Markets Ltd, Goldman Sachs International and HSBC Bank plc acted as Joint Lead Managers for the issue.
On January 15 and 16, a series of meetings with investors in the road-show were held in London, Zurich and Geneva. The Notes have been assigned a BB- rating from Fitch and a Ba3 rating from Moody’s.
81% of the Notes were sold to European investors and another 17% to UK investors. 87% of the Notes were distributed to banks/private banking customers and 12% of the Notes were distributed to funds. The Notes are listed at the Irish Stock Exchange, ISIN XS0878492791.
Credit Europe Bank’s CEO Murat Basbay stated that the Notes issue is the second US$-denominated Tier 2 capital transaction by a European bank in 2013 and cements the bank’s international success in the debt capital market.