Tuesday, 16th September 2008

HSBC launches €25 million (5.90%) bond

HSBC Bank Malta plc is offering €25 million in 5.90 per cent per annum subordinated bonds redeemable in 2018.

The bond issue is subject to an over-allotment option not exceeding €5 million.

The nominal value of the bonds on offer will be repayable in full upon redemption.

Applications can be made for a minimum of €2,500 and thereafter in multiples of €100. The offer will be open between September 24 and September 30 but may close earlier, without prior notice, if fully subscribed.

"We believe this bond issue represents a good investment opportunity for the local market with an attractive rate of interest," HSBC Bank Malta's chief executive officer, Alan Richards, said. "We think it provides a good long-term investment opportunity for both small investors and institutions."

HSBC has applied for the listing of the bonds on the Malta Stock Exchange. Charts Investment Management Service Ltd have been mandated to act as sponsoring stockbrokers.

More information can be found in the prospectus which, together with application forms, can be obtained from any HSBC branch, ShareShops and authorised distributors. One can also call HSBC's customer service on 2380 2380 or visit the website www.hsbc.com.mt.

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Article © Allied Newspapers Ltd., printed on Sunday, November 22, 2009. This article is for personal use only, and should not be distributed.

Comments

D. Cortis (on 16/9/08)

This new issue from HSBC is in contrast with companies abroad facing problems with debt and trying to deleverage.

Malcolm Schembri (on 16/9/08)

@ Ambrose Muscat - what about the risk !!

Ambrose Muscat (on 16/9/08)

Hello there's a whopping credit crunch going on remember??? Truth be told they would probably gladly accept much more than that and make it available to other banks facing difficulties in raising funds. That never seems to be a problem on our rock somehow...

JP Azzopardi Holland (on 16/9/08)

How come HSBC is borrowing €25 million in one single issue?
Why does it need so much money at once?
Can the bank cleary state why it needs to borrow so much money from the public sector in a time where banks world wide are not meeting their targets and the economy is slowing everywhere world wide?