BCP issues €500 million in senior securities with a six year maturity at 3.125%

Portugal’s Banco Comercial Português (BPC) has issued €500 million in preferential senior securities (Minimum Requirement for own funds and Eligible Liabilities).

The bank, recognised by consumers as Millennium and led by Miguel Maya, set the conditions on Monday for an issue of senior preferential debt securities eligible for MREL under its Euro Note Program.

The issue, in the amount of €500 million, will have a term of 6 years, with an early repayment option from the Bank at the end of the 5th year, an issue price of 99.631% and a fixed interest rate of 3.125% per year, during the first 5 years (corresponding to a spread of 0.95% over the 5-year midswap rate).

In the 6th year, the interest rate will be calculated based on the sum of Euribor at three months with a spread of 0.95%.

The securities will be sold on the international market aimed at international investors, particularly investment funds, banks and pension funds.