tbi bank issues bonds worth 34 million euros

• Content from tbi bank

tbi bank successfully issued a 3.5-year private placement of EUR 34 million of MREL-compliant bonds. The issue was oversubscribed with nearly EUR 40 million, well above the initial target (EUR 10-20 million).

The bank executed nearly a hundred orders from investors who offered an interest rate equal to or less than 7.6% (with a final bid range of 7.5-7.7%). Bondholders will receive an annual interest rate of 7.6%, paid twice a year. The bonds mature in September 2028. However, the bank has the option to redeem them one year earlier.

This is the largest bond emission issued by tbi bank, at the lowest interest rate for this type of instrument (MREL). The process was managed entirely by the bank's team. The legal advisor is the law firm Tsvetkova, Bebov and Partners, a member of Eversheds Sutherland.

This successful issue is further proof of our continued commitment to the Bulgarian capital market for the issuance of MREL bonds. We are delighted with the huge interest from various types of investors and their trust in tbi bank. The newly raised capital will support our development in the main markets in which we operate,” says Lukas Tursa, CEO of tbi bank.

Over the past four years, the bank has established itself as the leader in the Bulgarian public bond market by the number of emissions. The new bonds will be listed for trading on the Bulgarian Stock Exchange within the next six months.

Translated by Tzvetozar Vincent Iolov