Bank of Valletta’s offer of €50 million 4.80% subordinated bonds was closed within three hours today because of oversubscription.
In view of the strong demand, the bank will exercise the over-allotment option of a further €20 million in full.
Last week, a Corinthia Finance bond issue of €15 million also had to close quickly because of oversubscription.
Bank of Valletta said it will be announcing its allocation policy by Monday.
CEO Tonio Depasquale said that the success of this bond issue was testimony to the strength and trust of the BOV brand.
"We are proud to say that the response of the investing public to this bond Issue is a clear endorsement of the confidence that our institution enjoys with the general public and institutional investors alike.”
The bank’s CEO also pointed out that a considerable number of applications received were backed by a net inflow of new funds to the BOV Group. This was even more significant since it came at a time when the nank continued to enjoy an increase in its deposit base, he said.