Arion Bank: Senior Preferred Offering in ISK on January 14th 2025
Arion Bank will be offering the senior preferred series ARION 28 1215 in a closed auction on Tuesday, January 14th 2025.
ARION 28 1215 is an inflation-linked senior preferred bond series bearing a fixed 4.35% annual coupon rate with semi-annual interest payments and was originally issued in December 2023. The size of the series is ISK 12,060 m and the final maturity date is December 15th 2028.
The bonds will be offered in a single-price auction, where all accepted offers will be awarded at the highest accepted yield. Arion Bank reserves the right to accept or reject offers in part or in whole.
In connection with the auction, an exchange offering will take place, where holders of ARION CBI 25 will have the opportunity to exchange the series for senior preferred bonds in the aforementioned auction. The clean price of the exchange offering is 99.7832.
The expected settlement date is on January 21st 2025. Both cash and ARION CBI 25 exchange offering proceeds will be accepted as payment.
The bonds will be issued under Arion Bank’s EUR 3,000 m Euro Medium Term Note (EMTN) Programme. The EMTN Base Prospectus is available here: EMTN Base Prospectus.
The offering is managed by Arion Bank Capital Markets. Offers shall be submitted before 16:00 GMT on January 14th 2025 by email to skuldabrefamidlun@arionbanki.is.