Società Cattolica di Assicurazione -Società Cooperativa on Dec. 5 issued €500 million in subordinated bonds to qualified investors.
The notes, which were sold at par and almost 7x oversubscribed, will mature Dec. 14, 2047. They carry an initial 4.25% coupon until the first interest reset date in 10 years, which is also the first call date. If the call is not exercised, the notes will have a variable coupon equivalent to the reference rate of the Euro Interbank Offered Rate plus a 100-basis-point increase on the spread incurred at the issue date.
The insurer said over 250 investor placed orders totaling more than €3 billion. The proceeds from the deal are aimed at financing the acquisition of a 65% stake each in Avipop Assicurazioni SpA and Popolare Vita SpA from Banco BPM SpA.
Banca IMI served as global coordinator and as joint book runners with Barclays, Nomura and UBS Investment Bank, while Intermonte SIM and Banca Akros acted as co-managers and Allen & Overy as legal adviser.
