BBVA places €1bn Tier 2 bond drawing almost five times the demand
BBVA issued a €1 billion, 12-year Tier 2 subordinated bond this Monday, drawing demand of €4.7 billion, almost five times the offering. The pricing was set at mid-swap +165 basis points, significantly below the initial guidance of mid-swap +200 basis points.
The bond, maturing in 2037 with a call option in February 2032, was arranged by BBVA, Deutsche Bank, ING, Natixis and Société Générale as bookrunners, and forms part of BBVA’s 2025 funding plan aimed at optimizing capital structure.
This marks BBVA’s second debt issuance this year. In January 2025, the bank placed $1 billion in a contingent convertible bond (AT1).