BOV has announced that it will be issuing €100 million in Unsecured Euro Medium Term bonds, with an overallotment option that may see the final figure increase to €150 million.

In a company announcement posted to the Malta Stock Exchange, the bank said it has approved the final terms relating to the bond issue, which shall be published in due course.

The bonds form part of a €250 million bond programme announced in October 2024. The first part of the programme was released that same month, with the €100 million bond issue oversubscribed in days. 

The programme is understood to be for the purpose of meeting requirements under the minimum requirement for own funds and eligible liabilities (MREL) obligations.

The bonds will be available for subscription by all categories of investors and will be distributed as follows:

• An amount of €50 million in bonds will be reserved for subscription by existing bondholders and shareholders of the bank, as well as employees of the bank or any of its subsidiaries.
  
  
• An amount of €35 million in bonds will be reserved for subscription by professional clients and eligible counterparties.
  
  
• The remaining €15 million in bonds will be made available for subscription to the general public.

Any portion not fully subscribed to by a particular category of investor will be made available for subscription to another category.

Applications will be subject to a minimum subscription amount of €10,000 and in multiples of €100 thereafter, with the exception of applications by professional clients and eligible counterparties which will be subject to a minimum subscription amount of €100,000 and in multiples of €100 thereafter.

The offer period for the bonds is expected to open on Monday 9th June 2025.

Applications for bonds by retail clients will be subject to a suitability test conducted by the authorised financial intermediary irrespective of the investment service being provided.

BOV said it will release further information in due course.