Santander $1.5 billion 5.179% subordinated notes issue

Overview:

• Spanish bank Santander has made a SEC-registered offering of $1.5 billion 5.179% subordinated notes due 2025.
• The Tier 2 Securities are governed by New York law, which requires compliance with Article 55 of the Bank Recovery and Resolution Directive (BRRD) in addition to compliance with the requirement of cash reserve ratio (CRR) to qualify as Tier 2 instruments.
• This is the first issuance of subordinated debt securities (Tier 2) carried out by a Spanish bank pursuant to a New York law-governed indenture in the framework of the new solvency rules.
• Banco Santander, headquartered in Madrid, is the leading financial institution by market capitalisation in the Eurozone and operates through a network of subsidiaries across Spain, the United Kingdom, the United States and Brazil as well as other European and Latin American countries.

Adam Majeed - Regional editor