Mediobanca Completes €300m Sustainable Bond Issuance

Mediobanca has successfully issued its inaugural sustainable Tier 2 bond, amounting to €300 million with a maturity of ten years and six months, which is callable after five years. The bond, planned within Mediobanca's Strategic Plan 2023-26, attracted robust interest, with orders exceeding €1 billion, indicating a more than threefold oversubscription relative to the targeted amount. This enabled the initially announced yield of 200 basis points above mid-swap to be revised to 175 basis points, resulting in a 4.25% coupon. The issuance not only fulfills Mediobanca's debt capital strategy ahead of schedule but also meets its ESG target of issuing two sustainability bonds. The bond appealed to a diverse range of leading international investors, with notable interest from France, Germany, Austria, Switzerland, the UK, and Ireland, as well as Italy. This issuance underscores investor confidence in Mediobanca amidst market volatility and consolidates its status as a leader among Italian financial institutions in terms of efficiency and pricing in debt instruments.