Bank of Ireland group chief executive Myles O’Grady
Bank of Ireland has become the first bank in Europe to issue euro-denominated senior debt since the start of the Middle East conflict.
The Irish lender has issued €750m of new debt with an 8-year maturity and fixed coupon of 3.875pc priced at 1pc over mid swaps, making it the least expensive Irish debt issuance of the kind since 2021.
The new bond deal is second green bond of the year and the first euro-denominated senior debt issuance by a European bank since the start of the Middle East conflict.
Final orders from investors were more than €2.2bn from approximately 135 investors.
Group Treasurer at Bank of Ireland, Tony Morley, said the funding deal reflects continued confidence investors have in Bank of Ireland and its long-term strategy.
“The strong demand and tight pricing underline the quality of the bank’s credit and our ability to access markets even in challenging conditions. This green bond further strengthens our funding position while supporting customers in their transition to a lower carbon economy.”
The bookrunners on the transaction were Davy, Barclays, BofA Securities, ING, Société Générale, and UBS.
Last year, Bank of Ireland’s sustainable finance lending increased 20pc to €17.7bn, the bank said.
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