NIBC successfully extends its covered bond curve with a new EUR 500 million 10 years transactionPersbericht -
Today, NIBC successfully launched its fourth EUR 500 million conditional pass-through covered bond issue. The 10 years maturity of this transaction makes it the longest conditional pass-through covered bond issued in the Dutch market so far. The deal showed strong oversubscription with a final order book of close to EUR 1.3 billion. The longer tenor allowed NIBC to further expand its investor base across Europe. Pricing for this 10 years transaction was set at mid-swaps plus 17 basis points. The syndicate consisted of ABN Amro, Commerzbank, LBBW, NIBC and RBS.
The bonds are expected to be rated AAA by both S&P and Fitch. NIBC’s conditional pass-through covered bond programme is Dutch law based and backed by a pool of Dutch residential mortgage loans. The programme is registered with the Dutch Central Bank and ECBC, UCITS and CRD compliant.
The issue followed three earlier benchmark transactions of NIBC’s innovative and award-winning programme in October 2013, April 2014 and April 2015.