Bank Pekao has issued its own issue of green bonds for EUR 500 million

Bank Pekao S.A. has successfully placed its first international issue of green bonds. The Senior Non-Preferred Eurobonds have a nominal value of EUR 500 million and are due in November 2027.

The Eurobonds are issued by Bank Pekao as part of the EUR 5 billion EMTN medium-term Eurobond programme. The Eurobonds will be listed on the Luxembourg Stock Exchange and the Warsaw Stock Exchange.

Bank Pekao's securities were valued at 240 basis points above the average swap rate. The Eurobonds will be issued for a period of 4 years with the possibility of their early redemption by the Bank after three years from the issuance.

"We have completed the first, historic for the Bank, green, international and, most importantly, very successful bond issue of Bank Pekao, placed with a record-low margin of 240 bps and very high interest from investors" comments Leszek Skiba, President of Bank Pekao S.A.

The subscription for Bank Pekao's Eurobonds took place on 16 November. It covered 500,000 Eurobonds. Investors reported demand of more than €1.5 billion. The debt went to 110 entities. The reduction rate was 66.77 percent.

For Bank Pekao, it was the first issue under the adopted Eurobond programme. At the beginning of November 2023, the Bank published the Sustainable Finance Framework, a document specifying which categories of projects will receive funds from green or sustainable bonds issued by the Bank.