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UBS Shareholders Vote to Make AT1s Convertible to Shares
UBS's shareholders voted to change the clauses on its AT1s issued following the events at Credit Suisse last year. As per the clause change, upon the occurrence of a trigger event, these notes will be converted into equity instead of being permanently written down to zero. Credit Suisse's AT1 holders faced a permanent writedown to zero and thus, they did not receive any benefit despite being ranked above equity shareholders in terms of payment rank. The equity conversion mechanism was added only when UBS returned to the AT1 markets in late-2023. However, it could only be activated once shareholders voted for the change, that concluded yesterday. Bloomberg Intelligence analyst Jeroen Julius notes that the latest shareholder approval "could facilitate further AT1 issuance". This also comes at a time when Swiss government's recently announced plan to impose tougher capital requirements for the banking industry including UBS. The government aims to protect the country from a repeat of the Credit Suisse collapse and analysts note that it may see UBS requiring an additional $15-25bn in capital to comply. UBS Chairman Colm Kelleher said, "UBS is not too big to fail", and that it is one of the best capitalized banks in Europe.
UBS's AT1s were trading stable with its 5.125% Perps at 94.6, yielding 7.82%.
Regulators Set to Seize Troubled Philadelphia Bank Republic First
Regulators are set to seize the troubled Philadelphia bank Republic First and are near a deal to sell it to another lender, the fourth high-profile bank failure since last spring.
euro
acquisto ibrido aareal bank
cedola attuale appena sotto 11%
la banca é bbb stabile, recente
acquisita mesi fa da 3 private equity usa e canadesi
a 82,50, rateo 3 giorni
e cosi concludo il rimborso vallourec
euro
acquisto ibrido aareal bank
cedola attuale appena sotto 11%
la banca é bbb stabile, recente
acquisita mesi fa da 3 private equity usa e canadesi
a 82,50, rateo 3 giorni
e cosi concludo il rimborso vallourec
(Bloomberg) -- CaixaBank, to wholly redeem its €1,000,000,000 perpetual non-cumulative contingent convertible additional tier 1 preferred securities, according to a regulatory filing.
Securities were issued on June 13, 2017 for an initial total amount of €1B
Current outstanding principal amount is €395m
ISIN ES0840609004
To be redeemed on June 13 at 100% of the liquidation preference of €200,000 per preferred security