Banca Transilvania’s shareholders greenlight EUR 350 mln bond issue

Romanian lender Banca Transilvania’s shareholders approved on Wednesday, May 23, a bond issue worth EUR 350 million with a maturity of ten years. The bonds will have fixed or variable interest rate and the issue will only be addressed to a limited number of investors, of up to 150, local Ziarul Financiar reported. BT Capital Partners, Banca Transilvania’s brokerage and investment banking arm, will manage the placement. The lender plans to sell bonds to finance the growth of its loans portfolio and to streamline its capital structure so as to continue providing constant returns to its shareholders. Local lenders UniCredit Bank, Raiffeisen Bank and Garanti Bank have also issued corporate bonds in recent years to diversify their financing sources. Banca Transilvania is one of the most valuable companies listed on the Bucharest Stock Exchange. The bank’s shares have gained 13% since the beginning of this year and the market capitalization has reached over EUR 2.2 billion. Romanian lender Banca Transilvania ups net profit by almost 50% in Q1 editor@romania-insider.com