BBVA places £600 million senior non-preferred bond amid strong demand
BBVA on Wednesday placed £600 million (€698 million) in a senior non-preferred bond issuance. Demand reached as much as £1.25 billion. The bond has a six-year maturity, until September 2032, with an early redemption option in September 2031. The price was set at UKT (the UK sovereign bond) +100 basis points, below the initial price guidance of UKT+115 basis points. BBVA, NatWest and Nomura acted as bookrunners.
This issuance is part of the BBVA Group’s 2026 funding plan and is aimed at strengthening the buffer of eligible liabilities for the MREL requirement.
This is the Group’s eighth debt issuance this year. In January, the bank placed €2 billion in a dual-tranche SNP issuance, its largest euro-denominated issuance in the past 20 years. In February, BBVA placed $2.5 billion in another senior non-preferred debt issuance, the largest in its history in this currency. In April, it placed $2.25 billion in a dual-tranche issuance, comprising $1.25 billion in SNP format and $1 billion in AT1 format. In June, the bank placed €1.25 billion in a green senior non-preferred issuance and €2.25 billion in a dual-tranche covered bond issuance, its first since 2023. In August, it placed $2.3 billion in a three-tranche issuance. On September 22, it placed a further €1.25 billion in a green senior preferred bond.