HSBC UK Bank announces potential market stabilization measures

Published 04/06/2025, 11:36
© Reuters.

LONDON - HSBC UK Bank plc, with HSBC UK Covered Bonds LLP acting as guarantor, has announced the possible stabilization of its upcoming securities offer, with a nominal aggregate amount set at a Euro Benchmark level. The fixed securities are due on May 25, 2030, with the offer price yet to be determined.

The stabilization period, managed by HSBC Continental Europe along with a consortium of banks including BMO Capital Markets, CIBC (TSX:CM) Capital Markets, Crédit Agricole CIB, ING, Natixis, Rabobank, Santander (BME:SAN), and UniCredit, is expected to commence today, Wednesday, and potentially last until July 11, 2025. The stabilization managers may engage in over-allotment or transactions to support the market price of the securities, aiming to maintain pricing above what might naturally occur. However, any intervention may cease at any time, and there is no guarantee of stabilization actions being taken.

The terms allow for an over-allotment facility of up to 5% of the aggregate nominal amount of the securities. If activated, all stabilization measures will conform to applicable laws and regulations. The transactions, if any, will take place over the counter (OTC).

This pre-stabilization notice serves as a preliminary announcement, and it is not an invitation or an offer to underwrite, subscribe for, or acquire any securities of the Issuer. The announcement targets qualified investors in the European Economic Area as per the Prospectus Regulation and, in the UK, those with professional investment experience or high net worth.

The securities referenced in this announcement have not been registered under the United States Securities Act of 1933 and, therefore, may not be offered or sold in the United States absent registration or an exemption from such registration. There will be no public offer of the securities in the United States.

This information, based on a press release statement, is intended for informational purposes only and does not constitute financial advice or a recommendation to engage in any investment activities.

This article was generated with the support of AI and reviewed by an editor. For more information see our T&C.

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