29 Nov 2017 15:29
BFF Banking group announces a 2.5-year senior unsecured bond issuance for Euro 200 million - PRICE SENSITIVE

BFF Banking Group (BFF), the leading player in Europe in the management and non-recourse factoring of receivables towards the Public Administrations, announces the private placement to institutional investors of a new senior unsecured and unrated bond due June 2020, for an aggregate notional amount of Euro 200 million, issued by the parent company Banca Farmafactoring S.p.A.

The issuance represents a further step in the continuous diversification of funding sources carried out by the Group, leading to lower funding costs. The investors strong demand and oversubscription level confirms the high interest for the Group.

The notes will be issued with a denomination of Euro 100,000 and integral multiples of Euro 1,000 in excess thereof. The issuance price is at 100%. The notes will be floating rate and will carry a coupon calculated on the basis of the 3 month Euribor and a margin equal to 1.45%, and payable quarterly. The transaction is the first unrated floater bond issued by a bank on the European market.

The issuance and settlement are expected to occur on 5 December 2017. On or about the issue date, the notes will be listed on the official list of the Irish Stock Exchange and will be admitted to trading on the relevant regulated market.

Banca IMI S.p.A. and Morgan Stanley & Co. International plc acted as joint lead manager on the transaction. Banca Akros S.p.A. Gruppo Banco BPM acted as Co-Lead Manager. White & Case LLP acted as legal counsel of the issuer and Clifford Chance Studio Legale Associato acted as legal counsel to Banca IMI S.p.A., Morgan Stanley & Co. International plc and Banca Akros S.p.A. Gruppo Banco BPM.