The Governor and Company of the Bank of Ireland ("the Bank" or "Bank of Ireland") today announces further details in relation to its proposed capital raising.
The Bank's capital raising proposals ("the Proposals") will comprise the following elements:
(i) Liability Management Exercise ("LME")
- Cash and Debt for Equity offers with regard to nominal amount of c.€2.6 billion Tier 1 and Tier 2 subordinated debt securities
- Cash offer of 10 per cent of nominal for Tier 1 / 20 per cent of nominal for Tier 2 with no payment in respect of accrued interest
- Equity offer of 20 per cent of nominal for Tier 1 / 40 per cent of nominal for Tier 2 with payment in respect of accrued interest
- Equity conversion price will be calculated on the basis of a formula reflecting a market price adjusted for the capital expected to be generated from the Proposals
- Bondholder approval to be sought at a series of bondholder meetings to amend bond terms to grant an issuer call option at a price equal to €0.01 per €1,000 (or equivalent) in respect of the nominal amount of relevant subordinated debt securities
- The terms of the LME reflect the Minister for Finance's objective of ensuring subordinated debtholders contribute a significant element of the Bank's Core Tier 1 capital requirement of €4.2 billion
Investegate |Bank of Ireland(Gov) Announcements | Bank of Ireland(Gov): Capital Raising - Further Update
Bisogna vedere se l'accesso allo scambio d/e ha preclusioni (es. quantità nominale) e cosa si inventeranno per il calcolo della "formula reflecting a market price adjusted for the capital expected to be generated". No comment sulle percentuali in generale e sulla cash offer senza interessi in particolare...