BCP announces potential issue of subordinated notes

  • ECO News
  • 9 November 2021

The Portuguese bank announced this Tuesday that is preparing a €300 million issue of subordinated notes. According to BCP, the operation will strengthen the bank's Tier 2 capital.

Banco Comercial Português (BCP) is preparing a €300 million issue of subordinated notes, according to a statement sent to the Securities and Exchange Commission (CMVM).

The Portuguese bank has mandated Credit Suisse, Goldman Sachs, JPMorgan and Millennium BCP to organise the operation.

The securities will mature in ten years and six months, with the possibility of a call option once five years and six months have elapsed.

“It is intended that the notes fulfil the regulatory requirements to be qualified as Tier 2,” the bank said in the statement. “The transaction may be launched in the near future subject to market conditions,” it adds.

According to the financial information website IFR, the Portuguese bank is considering a €300 million issue.

The notes are rated Ba1 by Moody’s, BB by S&P and Fitch and BBB(low) by DBRS.