INTESA SANPAOLO LAUNCHES A NEW BENCHMARK SUBORDINATED LOWER TIER II OF €1.25 BILLION
Torino, Milano, 8 July 2010 – Today, Intesa Sanpaolo has launched a €1.25 billion subordinated Lower Tier II eurobond issue targeted at international markets. This transaction is part of the Bank’s usual policy of optimisation of total regulatory capital, valid in the calculation of the total capital ratio, and takes advantage of favourable market conditions, also in view of similar issues maturing in the coming months.
It is a ten-year, fixed-rate bond, issued under the Intesa Sanpaolo Euro Medium Term Notes Programme.
The coupon, payable annually in arrears on 16 July of each year from and including 16 July 2011 up to the maturity date, is equal to 5.15%.
The re-offer price is 99.663%.
Considering that it was re-offered below par, the total yield to maturity for the investor is equal to 5.19% p.a. equivalent to the 10-year midswap rate plus 230 basis points.
Settlement is due on or about 16 July 2010.
Minimum denomination of the bond issue is 50 thousand Euro and multiple.
The bond is not an offer to the Italian retail market; it is distributed to international institutional investors and financial institutions. It will be listed on the Luxembourg Stock Exchange and, as usual, traded on the Over-the-Counter.
Banca IMI, BNP Paribas, Credit Suisse and Deutsche Bank act as joint lead managers for the placement of the bond.
The ratings assigned to Intesa Sanpaolo’s senior long-term debt are: Aa2 by Moody’s, A+ by Standard & Poor’s and AA- by Fitch.
This communication does not constitute an offer or an invitation to subscribe for or purchase any securities. The securities have not been and will not be registered under the United States Securities Act of 1933 (as amended) (the "Securities Act"). The securities may not be offered, sold or delivered within the United States or to “U.S. persons” (as defined in Regulation S under the Securities Act) as part of their initial offering. The securities may be initially offered and sold only outside the United States in reliance on Regulation S under the Securities Act and subsequent resales may be made only in accordance with applicable law. Copies of this announcement are not being made and may not be distributed or sent into the United States, Canada, Australia or Japan.
This communication is being distributed to and is directed only at (i) persons who are outside the United Kingdom or (ii) persons who are investment professionals within the meaning of Article 19(5) of the Financial Services and Markets Act 2000 (Financial Promotion) Order 2005 (the “Order”) and (iii) high net worth entities, and other persons to whom it may lawfully be communicated, falling within Article 49(2) (a) to (d) of the Order (all such persons together being referred to as “relevant persons”). Any investment activity to which this communication relates will only be available to and will only be engaged with, relevant persons. Any person who is not a relevant person should not act or rely on this document or any of its contents.
Last updated 8 July 2010 at 18:36