Marfin: Issue of Capital Securities of up to €250m
20/3/2009 10:37
ISSUE OF CAPITAL SECURITIES
The Board of Directors of Marfin Popular Bank Public Co Ltd (the "Bank") during its meeting on 19/03/2009 approved the issue of Capital Securities up to the amount of EUR 250 million in one or more series. The rights and claims of the Capital Securities' holders will be subordinated and will be of secondary priority compared to claims by creditors including the Bank depositors, but will have priority over the Bank's shareholders.
The Capital Securities issued will not have a maturity date but may, at the Bank's discretion, after approval by the Central Bank of Cyprus, be acquired in their entirety at their nominal value, together with any accrued interest, five years after the date of issue or on any interest payment date after that.
The Capital Securities will have a 7% fixed interest rate and interest will be payable every three months.
The Capital Securities will be initially offered to a limited group of individuals, professional investors and individuals who will invest at least EUR 50,000 each.
At a later stage the possibility of offering the Capital Securities to the public through a Public Offer will be examined.
The Capital Securities will be included in the Hybrid Tier I Capital subject to the approval of the Central Bank of Cyprus.
Finally, the Bank intends to apply for the listing of the Capital Securities at the Cyprus Stock Exchange.
The Capital Securities issued will contribute to the further enhancement of the capital base of Marfin Popular Bank Group.
The Board of Directors of Marfin Popular Bank Public Co Ltd (the "Bank") during its meeting on 19/03/2009 approved the issue of Capital Securities up to the amount of EUR 250 million in one or more series. The rights and claims of the Capital Securities' holders will be subordinated and will be of secondary priority compared to claims by creditors including the Bank depositors, but will have priority over the Bank's shareholders.
The Capital Securities issued will not have a maturity date but may, at the Bank's discretion, after approval by the Central Bank of Cyprus, be acquired in their entirety at their nominal value, together with any accrued interest, five years after the date of issue or on any interest payment date after that.
The Capital Securities will have a 7% fixed interest rate and interest will be payable every three months.
The Capital Securities will be initially offered to a limited group of individuals, professional investors and individuals who will invest at least EUR 50,000 each.
At a later stage the possibility of offering the Capital Securities to the public through a Public Offer will be examined.
The Capital Securities will be included in the Hybrid Tier I Capital subject to the approval of the Central Bank of Cyprus.
Finally, the Bank intends to apply for the listing of the Capital Securities at the Cyprus Stock Exchange.
The Capital Securities issued will contribute to the further enhancement of the capital base of Marfin Popular Bank Group.
