Generali successfully placed €750 million subordinated bond
26 September 2024 - 19:11 price sensitive
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Trieste – Generali placed today a new Euro denominated Tier 2 bond due in January 2035 (the Notes), targeting institutional investors for an overall amount of € 750 million.
During the book building process, the Notes attracted an order book in excess of € 2.4 billion, more than 3.2 times the size of the new issue, from around 185 highly diversified institutional investors.
The issuance has attracted strong interest from international investors, which accounted for over 86% of the allocated orders, confirming the Group’s strong reputation on the markets. Approximately 27% of the Notes has been allocated to UK & Ireland, 22% to France, 14% to Italy, followed by the Nordics taking around 13% and Germany around 10%.
The terms of the Notes are as follows:
Issuer: Assicurazioni Generali S.p.A.
Issue Expected Rating: “Baa2” by Moody’s and “BBB+” by Fitch
Amount: € 750,000,000
Launch date: 26 September 2024
Settlement date: 3 October 2024
Maturity date: 3 January 2035
Coupon: 4.1562% p.a. payable annually in arrear
First coupon date: 3 January 2026
Issue price: 100%
Spread: MS+175 bps
Euro Mid-Swap (interpolated 10.25 year): 2.403%
Listing: Professional Segment of the Luxembourg Stock Exchange Regulated Market and professional segment of Euronext Access Milan market (Access Milan Professional)
ISIN: XS2911633274
BNP Paribas is acting as Global Coordinator and Joint Lead Manager. Barclays, BBVA, Goldman Sachs International, Mediobanca, Santander and UBS Investment Bank are acting as Joint Lead Managers.
Generali Group CFO, Cristiano Borean, commented: “The successful placement of our subordinated bond confirms, once again, our solid financial position and investors’ confidence in our 'Lifetime Partner 24: Driving Growth' strategic plan. The transaction – which is consistent with our proactive approach to managing the Group’s bond maturity profile - will further extend the average life of our debt.”