Cajamar Places €750m 7-year Mortgage Bond Issue

16 January 2015 – Expansión

Cajamar Caja Rural has placed an issue of seven-year mortgage bonds amounting to €750 million, maturing on 26 January 2022, according to a statement released by the entity, which reveals that the orders received for the issue have exceeded €1,200 million.

The placement price of the issue – whose initial aim exceeded €500 million – has been set at 90 basis points above the mid-swap, to give a fixed annual coupon of 1.25% and a yield for the investor of 1.359%.

The high demand for this placement, at both a national and international level, indicates the support that institutional investors are showing for the financial activity of Spanish cooperative banks, led by the Cajamar Cooperative Group, according to reports by the bank.

The underwriters of this issue are BBVA, Crédit Agricole, Barclays and SOCGEN.

Original story: Expansión

Translation: Carmel Drake