Novo Banco €347 million bond buy back

Overview:

• Portuguese bridge bank Novo Banco successfully bought back €347 million of senior debt that was due to mature in 2019 and and 2022. 
• The tender offer has the potential to raise €500 million, and in the end seven euro bonds and one dollar denominated  bond were acquired. 
• Novo Banco is up for sale and the buy back is designed to improve the bank's liquidity to make it more attractive for potential buyers, by reducing liability from non core assets. 
• Deutsche Bank and Nomura acted as dealer managers. 

John Crabb - Journalist