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News 2014

BancoEstado made a successful placement of bank bonds

Subgerencia de Comunicaciones

, Sep 02, 2014. 03:00

Placement of bank bonds for a total of UF 3 million for a period of 5 years

This morning, BancoEstado successfully placed  K5 series bank bonds for a total of UF 3 million, equivalent to US$ 130 million. The instrument, which has a remaining term of 5 years and a duration of 4.5 years, achieved a placement rate of 1.75%, with a spread of  65 basis points over the risk-free instrument, once again giving evidence of the confidence that institutional investors have in BancoEstado, with levels of demands that were four times that of the issue.

The financial institution informed that the principal objective of this placement is to capture long-term resources to aid the commercial development of BancoEstado.

The bonds placed have AAA risk classification (ICR) and AAA  risk classification (Fitch), and pay half-yearly interest, with a single block  capital amortisation on their maturity date.

The operation was carried out at the Santiago Stock Exchange in the Dutch Auction mode, through the BancoEstado S.A. Corredores de Bolsa placement agents.

BancoEstado offers excellent conditions of stability, solvency and one of the best risk classifications in the financial system, which enables it to offer investors profitable, safe and reliable financial instruments.