Bullish indicating open at $55-$60, IPO prices at $37
MADRID - Banco Santander (BME:SAN) announced Tuesday it is inviting holders of its €1.5 billion 4.375% Non-Step-Up Non-Cumulative Contingent Convertible Perpetual Preferred Tier 1 Securities to tender them for purchase at 100% of their nominal value.
The tender offer, which has been authorized by the European Central Bank, will expire at 5:00 p.m. CET on June 30, 2025, unless extended or terminated earlier by the bank.
Santander stated the rationale for the offer is to "efficiently manage the Offeror’s Tier 1 capital position and optimize the liquidity and debt maturity profile." Securities purchased through the offer will be canceled and not reissued.
The bank also announced plans to issue new euro-denominated non-step-up non-cumulative contingent convertible perpetual preferred tier 1 securities. The tender offer is conditional on the successful completion of this new issuance.
The maximum acceptance amount for the tender offer is expected to equal the aggregate nominal amount of the new securities to be issued. If the offer is oversubscribed, valid tender instructions will be accepted on a pro rata basis.
Qualifying holders who wish to subscribe to the new securities in addition to tendering existing ones may receive priority in allocation of the new securities, at Santander’s discretion.
Banco Santander and Santander US Capital Markets are acting as dealer managers for the offer, with Kroll Issuer Services Limited serving as tender agent.
The information is based on a press release statement issued by Banco Santander.
This article was generated with the support of AI and reviewed by an editor. For more information see our T&C.