Bank of Ireland successfully raises €1bn of long term secured funding

Bank of Ireland successfully raises €1bn of long term secured funding

Bank of Ireland Group today (29 April 2015) announced that it has raised €1bn of 7 year long dated secured funding through a successful Euro fixed rate covered bond issue. The covered bond transaction was issued by Bank of Ireland Mortgage Bank (BOIMB) under the Irish Asset Covered Securities legislation. The trade is backed by a pool of 100% Irish residential mortgages and is ECBC Covered Bond Label Compliant.

Key highlights

• Bank of Ireland successfully issued a €1bn 7 year Euro fixed rate Irish covered bond / Asset Covered Security (ACS).
• 100% Irish residential mortgages, ECBC Covered Bond Label Compliant.
• The high quality of investor demand for this 7 year covered bond strongly underlines the Group’s ability to access funding from international capital markets at competitive pricing.
• Pricing of 5 basis points over 7 year mid swaps equates to a yield of .426%. This compares with the Group’s last Euro fixed rate Irish covered bond transaction in January 2015, a 5 year €750 million transaction, which priced at 20 basis points over 5 year mid swaps (yield of .527%)
• Lead investment banks on the transaction were BNP Paribas, Citi, Credit Suisse, Davy and UniCredit. Co-lead was Nord LB

ENDS