The bonds were 1.6 times oversubscribed, compared with the originally indicated size of “EUR100 million (expected)”, with orders from bank and corporate treasuries, pension funds, asset managers and insurance companies, the bank said in a report to the Bucharest Stock Exchange.
“CEC Bank proves once again that it is attractive for institutional investors, even in a market environment marked by uncertainties, both from a macroeconomic and a geopolitical point of view. For us it is a confirmation that the bank’s transformation strategy and the solid financial results achieved have helped to sustain investor confidence and interest,” said Bogdan Neacsu, Director General of CEC Bank.
“We are at a very comfortable level in terms of capital requirements, and the reopening of the already existing issue from the beginning of this year also improves the liquidity of the instruments issued by the bank in the secondary market. In the next period we will continue to focus on our plans for development, growth and raising resources and capital to finance the Romanian economy.”
CEC Bank topped up the issue amount to a total of EUR281.9 million, with total drawdowns under the EMTN Program now amounting to EUR414 million. The funds are intended to consolidate CEC Bank’s capital base.
The bonds will be listed on the Luxemburg Stock Exchange and on the Bucharest Stock Exchange.
CEC Bank S.A. mandated Citigroup, Erste Group and Raiffeisen Bank International Group as Joint Bookrunners, and Raiffeisen Romania S.A. as Co-Manager on the bond issue.
Dentons acted as legal adviser to CEC Bank, while the Joint Bookrunners were advised by Clifford Chance, through the Bucharest and Frankfurt offices.
(English version by Loredana Fratila-Cristescu)