FRANKFURT - Eurobank SA has successfully completed the sale of EUR 600 million in callable senior preferred instruments, according to a post-stabilisation period announcement from Deutsche Bank AG (NYSE:DB). The securities, due 12 March 2030, were issued at a price of 99.698% with a spread over the benchmark German government bond of 146.4 basis points.
The offering, which was not subject to stabilisation actions by the involved stabilising managers, included Citi, Deutsche Bank (ETR:DBKGn), IMI-Intesa Sanpaolo, Jefferies, Santander (BME:SAN), and Société Générale (EPA:SOGN). Stabilisation efforts are typically undertaken by underwriters to support the market price of a security after its initial offering. However, in this case, the notice confirmed that no such actions were required, suggesting a stable or strong demand for the Eurobank securities.
The issuance of these instruments, with an ISIN code of XS2956845262, adds to Eurobank’s capital structure and provides investors with a new financial instrument that carries a fixed interest rate of 3.25% until the callable date. As a senior preferred instrument, these securities would be among the first to be repaid in the event of the issuer’s liquidation, before other forms of unsecured debt.
The announcement also clarifies that these securities have not been registered under the United States Securities Act of 1933 and, as such, may not be offered or sold in the United States absent registration or an exemption from registration. There will not be a public offer of the securities in the United States.
This financial move by Eurobank SA is a part of the broader capital-raising activities that banks and financial institutions engage in to strengthen their balance sheets and fund their operations. Investors in such instruments typically include large institutional investors seeking relatively stable fixed-income securities.
This information is based on a press release statement and serves to inform interested parties of the completion of this financial transaction without the need for market stabilisation.
This article was generated with the support of AI and reviewed by an editor. For more information see our T&C.