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News 2015

BancoEstado placed bank bonds


, Aug 27, 2015. 12:00

The operation involved the placement of 31-year bonds for a total of UF 2million.

BancoEstado placed series N4 bank bonds for a total of UF 2 million, equivalent to US$ 75 million.  The instrument has a maturity of 31 years, and duration of 19.8 years, and reached a placement rate of 3.09%, with a spread of 130 base points.

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

The bonds placed have AAA (ICR) and AAA (Fitch) ratings, with semi-annual interest payments and capital amortisation paid in a single instalment on the date of maturity.

 The operation was carried out with the Santiago Stock Exchange as a Dutch Auction, through BancoEstado S.A. Corredores de Bolsa placement agency, generating enormous interest on the part of institutional investors, with a demand that was 3x times higher than the issue.

BancoEstado is extremely stable and solvent and has one of the best risk classifications in the market, which enables it to offer investors profitable safe and reliable financial instruments.