Dentons has advised Romanian state-owned CEC Bank on the establishment of its EUR 600 million medium-term note program and its first two issuances amounting to over EUR 249 million. Clifford Chance advised arrangers Citigroup and Raiffeisen Bank International.
According to Clifford Chance, "the program contains options for issues of ordinary senior notes, subordinated notes, and MREL-eligible notes in the form of senior preferred and senior non-preferred notes. The program provides for a listing of the notes on the regulated market in the Luxembourg Stock Exchange and/or the Bucharest Stock Exchange."
According to Dentons, the issuances include an over EUR 130 million non-syndicated private placement of notes listed on the Bucharest Stock Exchange and the over EUR 119 million inaugural international public offering of MREL-eligible bonds, "listed on the Luxembourg Stock Exchange and in the process of being listed on the Bucharest Stock Exchange."
Clifford Chance advised Raiffeisen Bank on CEC's note private placement, a dual-tranche transaction including "a volume of EUR 97 million with a coupon of 7.5% and RON 175 million with a coupon of 9%, both with a term of three years." The firm also advised Citigroup, Raiffeisen Bank International, and Raiffeisen Bank on CEC's public offering of bonds "with a volume of EUR 119.3 million, a term of five years (callable after four years), and a fixed to floating interest structure with a fixed interest coupon of 7.5% until the first call date."
The Dentons team included Bucharest-based Partner Loredana Chitu, Counsel Maria Tomescu, and Associates Alin Roca and Mirela Rusnac, as well as further team members in Frankfurt and Berlin.
Clifford Chance’s team included Bucharest-based Partner Madalina Rachieru and Senior Associate Georgiana Evi, with further team members in Frankfurt and Madrid.
