February 7 (SeeNews) - Romanian savings bank CEC said on Tuesday that it has raised 119 million euro ($127.5 million) in a new placement of international bonds issued with the purpose of meeting the Minimum Requirement for Own Funds and Eligible Liabilities (MREL).
The placement was oversubscribed 1.2 times by investors, CEC Bank said in a press release.
The bonds have a maturity of five years and an annual coupon rate of 7.5%. CEC Bank will list the bonds on the Bucharest and Luxembourg bourses.
The arranging consortium for the bonds issue included U.S.-based investment bank Citigroup and Austria's Raiffeisen Bank International, as well as Raiffeisen Bank Romania.
"This year we will continue to follow plans for growth and attracting resources and capital to finance the Romanian economy" said general director of CEC Bank, Bogdan Neacsu.
Founded in 1864 as Casa de Economii si Consemnatiuni (Deposits and Consignments House), CEC was reorganised in 1996 as a joint stock company with the finance ministry as its sole shareholder. It was re-branded as CEC Bank in 2008.
CEC Bank SA is among the biggest banks in SEE, for more reference take a look at Top 100 banks