Banca Comerciala Romana (BCR), part of Erste Bank Group, announced that it had launched a bond worth RON 600 mln (EUR 120 mln) with a maturity of 7 years. The securities will be listed at the Bucharest Stock Exchange (BVB) on December 14.

Over the last two years, the bank has launched bonds totalling RON 2.7 bln (EUR 540 mln), making the bank one of the most active issuers on the stock exchange.

The bonds issued this time were evenly distributed among pension funds, asset managers, insurance companies, credit institutions. The European Bank for Reconstruction and Development (EBRD) and the International Finance Corporation (IFC) were among the investors.

Fitch is to give the new bond issue a long-term BBB + rating. The coupon rate was set at 5.98%.

The issue was aimed to help BCR meet the EU regulations on the ability of banks to absorb losses, the minimum capital requirement and eligible debt (MREL) and the MREL guidelines in line with its resolution strategy.

andrei@romania-insider.com

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