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Corporate information Updated: 03 Feb 2024

BBVA places £300 million in a Tier 2 subordinated debt issue maturing in 2033

BBVA today tapped the market for £300 million via a Tier 2 subordinated debt issue. The interest rate was set at UKT + 360 basis points, at the low end of the starting range (360-365 basis points). Demand reached £390 million. The issue drives forward BBVA's funding plan for 2023, in alignment with its strategy to optimize its capital structure. The issue was denominated in sterling to diversify the investor base.

Así evalúa BBVA el desempeño de la plantilla

The expected maturity of this issue is November 2033, with a redemption option becoming available between August and November 2028. The bookrunners were BBVA, Lloyds, NatWest Markets and Nomura.

In June 2023, BBVA placed an issue of €750 million in Tier 2 subordinated debt. The Group has conducted four other debt issuances this year: an issue of €1 billion senior unsecured debt with a term of 8 years; €1.5 billion in mortgage bonds with a term of 4.5 years; €1 billion in three-year senior preferred debt and €1 billion of an AT1 contingently convertible bond (CoCo), which in June reopened the market for this type of debt instrument following the Credit Suisse crisis.