Bank of Valletta has just received regulatory approval from the Malta Financial Services Authority (MFSA) for the listing of an Unsecured Euro Medium Term Bond Programme of a maximum amount of €325 million.
The first series and first tranche under the programme consists of a maximum of €100 million 5% unsecured subordinated bonds maturing in 2030 - 2035, which may be increased to up to €125 million in the event of higher demand and the Bank exercising the Over-Allotment Option. The Bonds are being offered for subscription by the general public.
This Bond Issue follows the successful €150 million unsecured subordinated bond issue by BOV earlier this year, which closed after just a few days following a strong response from investors. It was the largest corporate issue ever recorded on the local market.
Dr Gordon Cordina, Chairperson of Bank of Valletta, remarked that this is yet another signal to the market of the Bank’s confidence in its growth strategy within the national economy and financial market. “The purpose of this programme is to enable the Bank to consolidate its capital position, mainly in support of the forecasted balance sheet growth in line with its 2024-2026 strategy. We remain committed to build on our achievements, reward our loyal customers, shareholders and bondholders, and continue our journey towards even greater growth and excellence.”
Kenneth Farrugia, CEO of Bank of Valletta, emphasised the Bank's robust market standing, which has been endorsed by favourable international credit ratings from agencies like Fitch and S&P Global, attributed to its performance and balance sheet strength. “The launch of the new EMTN programme aims to further solidify our market position and reinforce our status as the Bank of Choice in Malta.”
Given its features, the bond is classified as a complex instrument and may be difficult for potential investors to understand. As a result, it might not be suitable for all types of retail investors. Potential investors are advised that a suitability test is a required step to ensure full understanding and an appropriate fit for their investment portfolio. The publication of the base prospectus and the final terms, and additional information are available at
https://www.bov.com/bond-prospectus. The approval of the prospectus should not be understood as an endorsement of the securities offered or admitted to trading on a regulated market.
Bank of Valletta p.l.c. is a public limited company with registration number C 2833 and having its registered office at 58, Zachary Street, Valletta VLT 1130, Malta. The approval of the Base Prospectus by the Malta Financial Services Authority should not be understood as an endorsement of the Bonds offered and admitted to trading on the Official list of the MSE. The value of the investment can go down as well as up and past performance is not necessarily indicative of future performance. If you invest in the Bonds, you may lose some or all of the money you invest.Potential investors should read the Base Prospectus and Final Terms documents before making an investment decision to fully understand the potential risks and rewards associated with the decision to invest in the Bonds. Authorised financial intermediaries may only distribute the bonds to retail clients subject to a suitability test to be performed in respect of such applicants, irrespective of the investment service being provided. An authorised financial intermediary shall not accept an application from a retail client unless it is satisfied, based on the results of such suitability test, that an investment in the bonds is suitable for the applicant. Bank of Valletta p.l.c. is a public limited company regulated by the MFSA and is licensed to carry out the business of banking and investment services in terms of the Banking Act (Cap.371 of the Laws of Malta) and the Investment Services Act (Cap.370 of the Laws of Malta). 
