[SINGAPORE] OCBC said on Thursday (Apr 3) that it has priced 500 million euros (S$733.8 million) in fixed-rate covered bonds due 2028. The covered bonds will bear interest at a fixed rate of 2.481 per cent per annum, payable annually in arrears.
The net proceeds will be used for general corporate purposes, said OCBC.
The covered bonds, which are part of the lender’s US$10 billion global covered bond programme, are expected to be rated “Aaa” by Moody’s Investors Services and “AAA” by Fitch Ratings.
Payments of interest and principal be guaranteed by Red Sail, secured by a portfolio of assets purchased by the guarantor from OCBC.
The bonds are expected to be issued on Apr 10 and then listed on the Singapore Exchange on Apr 11.
Barclays Bank (Singapore branch), ING Bank, Landesbank Baden-Wurttemberg, OCBC, Societe Generale and UBS London Branch acted as the joint lead managers for this issue.
Landesbank Hessen Thuringen Girozentrale was appointed the co-manager.
Shares of OCBC closed on Wednesday up 0.1 per cent or S$0.01 at S$17.22.
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