Skip to:
  1. Home
  2. Press & Media
  3. Press Releases
  4. 2013
  5. Unicredit issues a 7 year Covered Bond (OBG) benchmark for Euro 1 Billion
Share this event on:
  • LinkedIn

Recomend this page

Grazie, la tua segnalazione è stata inviata correttamente.

Spiacenti, questa funzionalità non è disponibile al momento.
Per favore prova con questo link. Grazie


Destinatario (indirizzo e-mail):

Unicredit issues a 7 year Covered Bond (OBG) benchmark for Euro 1 Billion

UniCredit has today launched a new 7 year OBG benchmark for a total of Euro 1 billion, setting a new reference point on the UniCredit covered bond curve.


The deal has encountered exceptional interest from investors, bringing the final orderbook well in ca. Euro 1.4 billion. The participation of more than 120 investors has been well diversified in terms of geography as well as investor type.


The bond - managed by UniCredit Corporate & Investment Banking together with Banca IMI, Banco Santander, Deutsche Bank, JP Morgan and Lloyds - was distributed to different institutional investors' categories such as funds (56%), banks (31%) and insurance companies (9%). The demand was driven by a wide geographical diversification, with Germany/Austria being the major contributor (33%) together with UK/Ireland (17%), Italy (14%), France (10%) and Benelux (10%).


The issue is expected to be rated AA/A2/A by S&P, Moody's and Fitch and will pay a coupon of 2.625% with an issue price set at 99.127%, resulting in a yield to maturity equal to 95 basis points over the swap rate and approximately 92 basis points below the equivalent maturity BTP at time of launch.


The issue launched today - the third OBG issued this year after the transactions issued in January and June both of Euro 1 billion - is part of the 35 billion Euro Programme announced in 2008 and based on a portfolio entirely composed of residential mortgages. For the benefit of the OBG holders (including this issue, the OBG I Programme has 13.2 billion Euro outstanding), the bank has already segregated around 21.4 billion Euro of residential mortgages originated by UniCredit S.p.A..


The global portfolio as of beginning of June 2013 comprises approximately 208,000 mortgages and has a very high granularity (with an average outstanding amount of ca. Euro 97,000). It has an average loan-to-value of approx 54.9%, a geographical concentration in northern and central Italy of 58% and 23% respectively. The Programme has been arranged by UniCredit Corporate & Investment Banking.