Banca MPS: Issue of Eur 500 million Senior Preferred Bond successfully completed

Banca Monte dei Paschi di Siena announces that it has successfully completed the issue of a fixed-rate Senior Preferred unsecured bond with a maturity of 5 years and a size of EUR 500 million, targeted at institutional investors. 

The transaction received a very positive market response, with a final order-book around EUR 900 million from approximately 100 investors. Thanks to the strong demand, the initial price guidance of 3.875% was tightened towards the final yield of 3.625%. 

The bond was placed across various institutional investor categories, comprising Asset Managers (67%), Banks/Private Banks (21%), Hedge Funds (5%), and others (7%). The geographical breakdown was the following: Italy (47%), UK & Ireland (33%), Scandinavia (6%), Germany (6%) and other countries (8%).

The bond, documented under the Debt Issuance Programme of BMPS, with expected ratings Caa1 (Moody's) / B (Fitch) / B(high) (DBRS), will be listed on the Luxembourg Stock Exchange.

Barclays, J.P. Morgan, Morgan Stanley, MPS Capital Services, NatWest Markets and Sociètè Gènèrale managed the issuance acting as Joint Bookrunners.