Press Release
BANCA MPS SUCCESSSFULLY PLACES A EUR 500 MILLION SENIOR PREFERRED BOND
DEMAND FOR APPROX. EUR 1.4 BILLION FROM ITALIAN AND INTERNATIONAL INSTITUTIONAL INVESTORS
Siena, 21 May 2025 - Banca Monte dei Paschi di Siena S.p.A. (the “Bank” or “BMPS”) has successfully completed the issuance of a new fixed-rate EUR 500 million Senior Preferred Unsecured Bond with a maturity of six years (due 2031) and an early redemption option after five years.
The transaction was well received by the market, attracting orders of up to 1.4 billion from a broad base of Italian and international primary institutional investors, confirming the growing interest in the Bank which highlights a significant improvement in its results.
The final coupon has been set at 3.50% with a re-offer price of 99.662%, representing a spread of 130 bps over mid-swap rate, below the initial guidance of 155 bps, and 15bps lower than the previous Senior Preferred Issuance with the same maturity in November 2024, further confirming the ongoing reduction in the Bank’s funding costs.
Demand was diversified in terms of both investor type and geography, with orders coming mainly from Italy (67%), UK and Ireland (11%) and other European countries (22%).
With the new Senior Preferred Unsecured Bond issued under the Debt Euro Medium Term Notes Programme, the Bank has consolidated its ability to access the international market, implementing the Funding Plan for 2025.
The Bond will be issued in dematerialised form at Euronext Securities Milan (Monte Titoli). The ratings are expected to be Ba2 from Moody's, BB+ from Fitch and BBB (Low) from Morningstar DBRS, and the Bond will be listed on the Luxembourg Stock Exchange.
The joint lead manager and bookrunners for the transaction are BBVA, BMPS, BofA Securities, Credit Agricole CIB, Jefferies, JPMorgan e UBS Europe SE.
