BoV €35 million bond issue

Bank of Valletta on Wednesday launched a €35 million, 10-year subordinated bond issue, with an over-allotment option of up to €15 million.

The bonds have an annual coupon of 5.35 per cent with interest payable semi-annually in mid-June and mid-December.

A proportion of the issue is being reserved for bank shareholders and employees and for pre-placements made by the public. All preferred applications and other pre-placements will be accepted until June 4. Subscription lists to the public will open on June 8.

Bank of Valletta Group chief executive officer Tonio Depasquale said the bond issue aims to further strengthen the bank's capital base.

Earlier this month, BoV reported operating profits for the first six months of its financial year of €10.1 million, down from €21.9 million for the corresponding period in the previous year.

More details on the bond issue may be obtained from any BoV branch, the Customer Service Centre (tel. 2131 2020), www.bov.com or stockbrokers.