BCC-Grupo Cajamar places 750 million in subordinated debt
Banco de Crédito Social Cooperativo-Grupo Cajamar closed a subordinated debt issue for €750 million, with a 12-year term (with a repurchase option starting in the seventh year) and maturing on October 13, 2037. This new issue, with a coupon of 4.25%, is lower-cost for the bank.
With this transaction, the cooperative bank Cajamar strengthens its capital structure and expands its financing, specifically its Tier 2 capital, and continues to raise the MREL requirements set for 2025, having exceeded the current requirement prior to this issue.
The issue has received an excellent response from institutional investors, reaching nearly 100 orders from high-quality accounts and a demand exceeding €1.6 billion, 2.1 times higher than supply. Demand has been primarily international, originating from the United Kingdom and Ireland (30%) and France (20%), along with a well-diversified distribution across the rest of Europe. By investor type, 51% of orders came from fund managers, 29% from hedge funds, and 13% from banks.
The banks participating as Joint Bookrunners were Santander, BBVA, Morgan Stanley, Barclays and Crédit Agricole.
At the same time, BCC-Grupo Cajamar has launched a repurchase offer for its previous subordinated debt issue, amounting to €600 million, issued in May 2021, maturing in November 2031, with a coupon of 5.25% and an early call option starting in May 2026.