Bank Leumi NIS925 million CoCo bond issue

Overview:

• Israel's second biggest lender Bank Lemui sold NIS925 million in CoCo (contingent convertible) bonds in what was only the second issue of this type in Israel.
• CoCos are fixed income debt instruments designed for banks, which can be converted into equity or written down if an issuer's equity capital ratio drops below a certain threshold (below 5% in Israel).
• The CoCos have a coupon of 3.25% and mature in January 2026. 
• The underwriters included Leumi Partners Underwriters, and Poalim IBI Managing & Underwriting.

Ben Naylor - Regional editor