Raiffeisen Bank largest issue of green bonds starts trading at the Bucharest Stock Exchange
Petre Barac
Posted On July 2, 2021
Raiffeisen Bank’s second green bonds issue starts trading today, July 2, on the Bucharest Stock Exchange (BVB) Main Market, under the ticker RBRO28. Raiffeisen Bank attracted in June 2021, at the time of the bond issue, over RON 1.2bn, being the largest corporate bond issue in RON of an issuer in Romania and the first non-preferential senior bond issue of the bank. The funds raised will be directed to finance Raiffeisen Bank’s eligible projects to ensure the transition to a sustainable and sustainable economy.
‘Through the second issue of green bonds on the local market, we reaffirm our commitment to mobilize financial resources for sustainable purposes and to integrate social and environmental aspects in risk management, in order to ensure a progressive decarbonisation of our loan portfolio’, said Steven van Groningen, Raiffeisen Bank President and CEO.
The second green bond issue carried out by Raiffeisen Bank on the local market was addressed to institutional investors and attracted RON 1,207.5mn. The bonds have a 7-year maturity, with a fixed annual coupon of 3,793%, approximately 0.8 pp. over the yield of government securities issued in the same currency and with the same maturity. With a total demand of RON 1.35bn, the issue was oversubscribed 1.35 times, compared to the amount initially announced in the opening of the private placement. The bonds are to be included in the bank’s own funds and eligible debts base, after the prior confirmation of eligibility by the National Bank of Romania.
Raiffeisen Bank is on the fifth bond issue listed on the Bucharest Stock Exchange. In addition to the bonds that started trading today, listed also on the Luxembourg Stock Exchange, investors can invest in Raiffeisen Bank green bonds listed on May 27th, 2021, under the ticker RBRO26, an issue with a value of RON 400.5mn and 5 years maturity, as well as in those listed on May 14th, 2020, under the ticker RBRO29, an issue with a value of RON 480mn and 9 years maturity. Raiffeisen Bank’s first two bond issues, from 2013 and 2014, have reached maturity.
Raiffeisen Bank Romania has over 20 years of activity in the Romanian banking sector and over 2.2 million customers, individuals, and legal entities. The bank has over 4,800 employees, over 300 agencies across the country, around 700 ATMs, 400 multifunction machines (MFMs) and a network of over 24,500 POS.
