Erste Bank announced on Friday that it has published a public invitation for the subscription of so-called ‘preferred senior’ bonds on the domestic capital market, maturing in 2026, with a fixed interest rate of 4.5 percent and annual interest payments.
The targeted issuance amount is 70 million euros, with the possibility of increasing the nominal amount by up to 20 percent, depending on investor interest, Erste Bank stated.
The issuance is, as they emphasized, intended for all investors, with a minimum investment amount of 100 thousand euros, and the subscription opportunity is open until June 16 at 3 PM.
The announcement of the final issuance amount is planned for June 20, when the bonds will be issued, while their listing on the Official Market of the Zagreb Stock Exchange and the Vienna Stock Exchange is expected within one working day after the issuance.
The goal of the planned bond issuance, as explained by Erste Bank, is to meet the minimum requirements for regulatory capital and eligible liabilities (MREL), which are part of the EU regulatory framework aimed at strengthening the financial system, increasing the resilience of credit institutions to unforeseen stress scenarios, and preventing systemic risk.
