The redemption will be made at 100% of the aggregate principal amount of the 1,404 bonds, plus interest accrued up to that date. Romania’s central bank approved the transaction in writing, a mandatory requirement for credit institutions seeking to redeem MREL instruments early.
The BCR27A issue was launched in June 2022 as part of Erste Group’s EUR3 billion Multi-Issuer EMTN Program, at a 100% issue price and with a face value of RON500,000 per bond. The bonds are listed on the regulated spot market of the Bucharest Stock Exchange and received a BBB- rating from Fitch upon issuance.
As green bonds, the proceeds from this issuance were directed – in accordance with Erste Group’s sustainable financing framework, toward eligible projects in the categories of energy-efficient residential and commercial buildings, as well as renewable energy.
(English version by Loredana Fratila-Cristescu)