Chicago, Aug. 22 – NN Group NV priced €500 million of fixed-to-floating rate subordinated tier 2 notes with a 20-year tenor on Monday, according to information from a market source.
The notes were marked green and start with a 5.25% coupon.
Pricing at 99.167, the yield came out to 5.36%, or 320 basis points over mid-swaps. Initial price talk was in the 320 bps area.
The first optional redemption date is Aug. 30, 2032. The notes are redeemable from that date to the first reset date at par, and then on any quarterly interest payment date thereafter.
The first reset date for the coupon is March 1, 2033.
Demand for the notes was in excess of €700 million.
Joint bookrunners are BNP Paribas, Citigroup, Deutsche Bank, ING, JPMorgan and UniCredit. JPMorgan handled billing and delivery.
Proceeds will be used for green projects and activities under the issuer’s sustainability bond framework.
NN is an insurance and asset management company based in The Hague.
| Issuer: | NN Group NV
|
| Amount: | €500 million
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| Issue: | Fixed-to-floating rate green subordinated tier 2 notes
|
| Maturity: | March 1, 2043
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| Bookrunners: | BNP Paribas, Citigroup, Deutsche Bank, ING, JPMorgan and UniCredit
|
| Green structuring agents: | ING and JPMorgan
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| Coupon: | 5.25% initial rate, resets on March 1, 2033
|
| Price: | 99.167
|
| Yield: | 5.36%
|
| Spread: | Mid-swaps plus 320 bps
|
| Call features: | Make-whole call at Bunds plus 50 bps starting Aug. 30, 2027; starting Aug. 30, 2032 to March 1, 2033 at par; thereafter at par on quarterly interest payment dates
|
| Trade date: | Aug. 22
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| Settlement date: | Aug. 30
|
| Ratings: | S&P: BBB-
|
| Fitch: BBB+
|
| Distribution: | Regulation S
|
| Price talk: | Mid-swaps plus 320 bps area
|
| ISIN: | XS2526486159
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