Home » Credit Agricole Italia successfully places new 1 billion euro covered bond in ‘European Covered Bond Premium’ format

Credit Agricole Italia successfully places new 1 billion euro covered bond in ‘European Covered Bond Premium’ format

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Credit Agricole Italia successfully places new 1 billion euro covered bond in ‘European Covered Bond Premium’ format

Crédit Agricole Italia announced that it has “successfully finalized a new issue of Guaranteed Bank Bonds, among the first on the Italian Premium label market and compliant with the most recent European directive”.

“Confirming the continued appreciation of investors for Crédit Agricole Italia and the timely implementation of the new legislation – reads the bank’s note – orders totaling 1.3 billion euro were collected, exceeding the maximum amount envisaged of 1 billion euro”.

Banco BPM specified that the bonds have a duration of 6.5 years (maturity 15 January 2030) and a gross annual coupon of 3.50%.

The security offers a yield equivalent to the mid swap rate increased by a spread of 59 basis points, 19.4 bps below the yield of BTPs of similar duration.

“Fifty orders were received, about two-thirds from international investors, demonstrating the renewed trust recognized by the market in Crédit Agricole Italia, even more than a year after the last covered bond issue”.

The issue was managed by Crédit Agricole CIB (Global Coordinator). Joint bookrunners Credit Agricole CIB, ABN AMRO, IMI-Intesa Sanpaolo, Raiffeisen Bank International and Unicredit.

An Aa3 rating from Moody’s is expected for the bond, concluded the bank.

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