Venice (Mestre), 18th February 2020 – Banca IFIS (rated BB+ by Fitch with a stable outlook) has successfully completed the placement of a 400 million Euro Senior Preferred bond sold to professional investors. The transaction was a drawdown under Banca IFIS’ EMTN Programme, and is in line with the funding strategy announced in the bank’s 2020-2022 business plan, which aims to further diversify funding sources.
The placement was met with an excellent response from the market, with 60% of demand being non-Italian. In addition, the orderbook was almost three times in excess of the transaction size. The issue price was 99,692, yield to maturity at 1,82% and coupon of 1,75%.
“The positive reception from both the domestic and international market for this transaction is an important confirmation of the Bank’s solidity and of the sustainable growth strategy that we are aiming for as part of our three-year Industrial Plan – explained Luciano Colombini, CEO of Banca IFIS -. Banca IFIS return to the institutional market, around two years after the last issue, with the aim of diversifying its sources of funding, making the debt capital markets a consolidated strategic choice. Today’s issue therefore represents a positive return to dialogue with institutional investors in addition to marking the first step of our funding plan which, as per the business plan, is functional to the profitable growth of the business and in particular of the two industrial segments “Core”: Non Performing Loans and Commercial Banking”.
The notes will be listed on the Irish Stock Exchange regulated market with an expected BB + rating from Fitch. The settlement date will be February 25, 2020 and the maturity date will be June 25, 2024.
Barclays Bank PLC, Citigroup Global Markets Limited, Goldman Sachs International e Mediobanca – Banca di Credito Finanziario SpA. managed the placement and acted as Joint Bookrunners.