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Strong Demand for RBI´s EUR 500 million bond
Vienna, 14 February 2014
In the wake of the highly successful capital increase Raiffeisen Bank International AG (RBI) also saw very strong demand for a EUR 500 million bond issued today.
The callable subordinated bond was oversubscribed several times shortly after the order book opened. "The strong demand, especially from international investors, confirms RBI's excellent positioning in the capital market and the high amount of trust in its strategy", said Martin Grüll, RBI's CFO. In his opinion this is also underlined by the achieved 4.5 per cent coupon (reference rate EUR MidSwaps plus 330 bps).
390 institutional investors placed orders. Especially strong demand came from the UK, Germany and Switzerland. The subordinated bond is callable in 2020 (subject to regulatory requirements being fulfilled) and matures in 2025. Joint Lead Managers of this benchmark transaction were Bank of America Merrill Lynch, BNP Paribas, Citi and Raiffeisen Bank International.
Raiffeisen Bank International AG (RBI) regards both Austria, where it is a leading corporate and investment bank, and Central and Eastern Europe (CEE) as its home market. 15 markets of the region are covered by subsidiary banks, additionally the Group comprises numerous other financial service providers, for instance in the fields of leasing, asset management and mergers and acquisitions.
RBI is the only Austrian bank with a presence in both the world's financial centres and in Asia, the group's further geographical area of focus. In total, around 59,000 employees service about 14.4 million customers through more than 3,000 business outlets, the great majority of which are located in CEE. RBI is a fully consolidated subsidiary of Raiffeisen Zentralbank Österreich AG (RZB).
RZB indirectly holds around 60.7 per cent of the shares; the rest account for the free float. RBI shares are listed on the Vienna Stock Exchange. RZB is the lead institute of the Raiffeisen Banking Group in Austria, the largest banking group in the country and group head office for the entire RZB Group, including RBI.