The bank Credem -Credito Emiliano – announced with a note the decision to repay the Tier 2 bond in advance of € 50,000,000 with maturity in October 2026. The note states that:
“Following the authorization issued by the competent Supervisory Authority, with reference to the subordinated loan for an amount equal to € 50,000,000 ‘Fixed to Floating Rate Subordinated Tier 2 Callable Notes’ (ISIN: XS1506498200), it is noted that Credito Emiliano , intends to exercise the voluntary call option and to proceed with the full reimbursement of the amount of all securities outstanding at the effective date of the call (21 October 2021), in line with the supervisory regulations which would reduce the benefits assets otherwise “.
“Credito Emiliano will therefore carry out, for the benefit of all noteholders, the formal notifications required by current legislation and by the terms and conditions governing the issue. The Total Capital Ratio in June 2021, prudently, already acknowledged the effects of this reimbursement,
standing at 16.7%, well above the regulatory threshold (equal to 11.5%). Credito Emiliano maintains a solid capital position with a CET1 ratio level of 14.4% in June 2021, 682 bps above the minimum regulatory requirement for 2021 (SREP) and at the top of the
Italian banks directly supervised by the ECB “.