International markets maintain interest in Peruvian bonds, as demonstrated through the placement of subordinated bonds by Interbank for US$350 million, with demand exceeding the size of the issuance by more than 3.7 times.
"The success of the placement demonstrates the continued interest by international markets for Peru, particularly for Interbank, given its financial strength and the trust in its management," said the financial institution, part of the Intercorp Financial Services holding company.
The subordinated bonds, valued at US$350 million, were placed at a fixed rate of 6.4%, with the lowest historic spread for Interbank on such a bond.
"Demand came from investors in Latin America, the United States, Europe, and Asia, exceeding the issuance size by more than 3.7 times, surpassing US$1.3 billion," the financial institution noted.
It was mentioned that meetings were organized with more than 60 local and international investors, thanks to the management of Goldman Sachs & Co LLC, J.P. Morgan Securities LLC, and Santander USS Capital Markets LLC.
The term of the issuance is 10.25 years with a redemption option starting from the fifth year, in compliance with the regulations stipulated by the Superintendence of Banking and Insurance for this type of debt instruments.
The bonds were placed as part of an international issuance under Rule 144-A and/or Regulation S of the U.S. Securities Act of 1933. They received a Baa3 rating from Moody's and BB+ from S&P.
As a subordinated bond issuance, these instruments allow for strengthening the bank's Tier 2 capital.
The funds raised will be used primarily to finance the execution of the call option on the "4.0% Fixed-to-Fixed Rate Subordinated Notes due 2030" issued by the bank, which remains valid until July 2025.