Alandsbanken holders support consent bid for covered bonds due 2022

By Rebecca Melvin

Concord, N.H., Aug. 27– Alandsbanken Abp announced Friday that noteholders voted to approve the addition of a call option for its SEK 2.5 billion floating-rate covered bond due 2022 (ISIN: SE0010598474), according to a press release.

The bank announced a consent solicitation for the floaters on Aug. 17.

As of the consent bid early deadline at 6 a.m. ET on Aug. 27, the company gained approval from 100% of noteholders to redeem all, but not only some, of the outstanding notes prior to final maturity at a price of 100.9 plus accrued interest.

A consent fee of 0.3% of the principal amount of notes was to be paid to noteholders.

Alandsbanken said it may exercise the call option in connection with the expected issuance of an up to SEK 5.5 billion covered bond, subject to market conditions. The settlement of the new covered bond and the call option would fall on or around the same date.

Nordea Bank Abp and Danske Bank A/S are acting as joint lead managers and bookrunners for the new covered bond.

Nordea (nordealiabilitymanagement@nordea.com, +45 6161 2996) was acting as the tabulation agent and solicitation agent for the consent solicitation, which was to have expired on Sept. 1.

The lender operates in Finland and Sweden from its headquarters in Mariehamm, Aland Islands (Finland).

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