Banco Bilbao Vizcaya Argentaria SA issued contingent convertible bonds amounting to €1 billion.
The perpetual bonds carry a 6% coupon, 0.375 points lower than the indicated price of 6.375%. They are redeemable in five years, on the first call date of March 29, 2024. The Spanish banking group said the instruments were 3x oversubscribed, attracting more than 250 orders.
BBVA said the deal increased its flexibility in refinancing previously issued CoCo bonds or Additional Tier 1 instruments. The bank noted that it has met its 1.5% minimum AT1 capital buffer requirement, with the ratio standing at 1.57% as of December 2018.
BBVA, BNP, Crédit Agricole CIB, Citi, Deutsche Bank and HSBC acted as underwriters on the deal.