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Bank of Valletta plc – Distribution of First Tranche of Bonds

Jonathan Falzon

October 8, 2025

8 October, 2025
4 min read
8 October, 2025
4 min read

Following last week's article detailing the performance of the S&P 500 index in 2025, it is worth devoting time to review the developments across the European equity markers in my last article of the year.

On 7 October 2025, Bank of Valletta plc announced that it submitted an application to the Malta Financial Services Authority requesting admissibility to listing of an Unsecured Euro Medium Term Bond Programme of up to €325 million.

Subject to regulatory approval, BOV will be issuing the first series and first tranche of Tier 2 bonds under the Programme consisting of €100 million (with an overallotment option which may result in the offer being increased to a maximum of €125 million) 5.0% subordinated bonds maturing in 2030-2035.

The bonds will be available for subscription by all categories of investors and will be distributed as follows:

  • An amount of €50 million will be reserved for subscription by holders of the 3.50% BOV subordinated bonds 2030 (Series 1 & 2), 3.75% BOV subordinated bonds 2026/31, 5.0% BOV subordinated bonds 2029/34 Series 1, 5.0% BOV subordinated bonds 2030/35 Series 2 and shareholders of BOV as at close of trading on 14 October 2025, together with employees of the Bank and any of its subsidiaries.
  • An amount of €25 million will be reserved for subscription by Professional Clients and Eligible Counterparties.
  • The remaining €25 million will be reserved for subscription by the general public.

Any portion not fully subscribed to by a particular category of investor will be made available for subscription to another category. Furthermore, any additional bonds allotted further to the exercise of the overallotment option will be allocated at BOV’s discretion depending on the total level of subscription by each category of investor.

Applications will be subject to a minimum subscription amount of €10,000 and in multiples of €100 thereafter, apart from applications by Professional Clients and Eligible Counterparties which will be subject to a minimum subscription amount of €100,000 and in multiples of €100 thereafter.

Applications for bonds by retail clients will be subject to a suitability test conducted by the authorised financial intermediary irrespective of whether investment advice is being provided or not. Further details will be published once regulatory approval is obtained.

The article contains public information only and is published solely for informational purposes. It should not be construed as a solicitation or an offer to buy or sell any securities or related financial instruments. No representation or warranty, either expressed or implied, is provided in relation to the accuracy, completeness or reliability of the information contained herein, nor is it intended to be a complete statement or summary of the securities, markets or developments referred to in this article. Rizzo, Farrugia & Co. (Stockbrokers) Ltd (“Rizzo Farrugia”) is under no obligation to update or keep current the information contained herein. Since the buying and selling of securities by any person is dependent on that person’s financial situation and an assessment of the suitability and appropriateness of the proposed transaction, no person should act upon any recommendation in this article without first obtaining investment advice. Rizzo Farrugia, its directors, the author of this article, other employees or clients may have or have had interests in the securities referred to herein and may at any time make purchases and/or sales in them as principal or agent. Furthermore, Rizzo Farrugia may have or have had a relationship with or may provide or has provided other services of a corporate nature to companies herein mentioned. Stock markets are volatile and subject to fluctuations which cannot be reasonably foreseen. Past performance is not necessarily indicative of future results. Foreign currency rates of exchange may adversely affect the value, price or income of any security mentioned in this article. Neither Rizzo Farrugia, nor any of its directors or employees accepts any liability for any loss or damage arising out of the use of all or any part of this article. Additional information can be made available upon request from Rizzo, Farrugia & Co. (Stockbrokers) Ltd., Airways House, Fourth Floor, High Street, Sliema SLM 1551. Telephone: +356 2258 3000; Email: info@rizzofarrugia.com; Website: www.rizzofarrugia.com © 2021 Rizzo, Farrugia & Co. (Stockbrokers) Ltd. All rights reserved. This article may not be reproduced or redistributed, in whole or in part, without the written permission of Rizzo Farrugia. Moreover, Rizzo Farrugia accepts no liability whatsoever for the actions of third parties in this respect.

This article was produced by Edward Rizzo, Director at Rizzo Farrugia, which is a company licensed to undertake investment services in Malta by the MFSA under the Investment Services Act, Cap. 370 of the Laws of Malta and a member of the Malta Stock Exchange. The company’s registered address is at Airways House, Fourth Floor, High Street, Sliema SLM 1551, Malta.

The article contains public information only and is published solely for informational purposes. It should not be construed as a solicitation or an offer to buy or sell any securities or related financial instruments. No representation or warranty, either expressed or implied, is provided in relation to the accuracy, completeness or reliability of the information contained herein, nor is it intended to be a complete statement or summary of the securities, markets or developments referred to in this article. Rizzo, Farrugia & Co. (Stockbrokers) Ltd (“Rizzo Farrugia”) is under no obligation to update or keep current the information contained herein. Since the buying and selling of securities by any person is dependent on that person’s financial situation and an assessment of the suitability and appropriateness of the proposed transaction, no person should act upon any recommendation in this article without first obtaining investment advice. Rizzo Farrugia, its directors, the author of this article, other employees or clients may have or have had interests in the securities referred to herein and may at any time make purchases and/or sales in them as principal or agent. Furthermore, Rizzo Farrugia may have or have had a relationship with or may provide or has provided other services of a corporate nature to companies herein mentioned. Stock markets are volatile and subject to fluctuations which cannot be reasonably foreseen. Past performance is not necessarily indicative of future results. Foreign currency rates of exchange may adversely affect the value, price or income of any security mentioned in this article. Neither Rizzo Farrugia, nor any of its directors or employees accepts any liability for any loss or damage arising out of the use of all or any part of this article. Additional information can be made available upon request from Rizzo, Farrugia & Co. (Stockbrokers) Ltd., Airways House, Fourth Floor, High Street, Sliema SLM 1551. Telephone: +356 2258 3000; Email: info@rizzofarrugia.com; Website: www.rizzofarrugia.com © 2021 Rizzo, Farrugia & Co. (Stockbrokers) Ltd. All rights reserved. This article may not be reproduced or redistributed, in whole or in part, without the written permission of Rizzo Farrugia. Moreover, Rizzo Farrugia accepts no liability whatsoever for the actions of third parties in this respect.

This article was produced by Edward Rizzo, Director at Rizzo Farrugia, which is a company licensed to undertake investment services in Malta by the MFSA under the Investment Services Act, Cap. 370 of the Laws of Malta and a member of the Malta Stock Exchange. The company’s registered address is at Airways House, Fourth Floor, High Street, Sliema SLM 1551, Malta.

On 7 October 2025, Bank of Valletta plc announced that it submitted an application to the Malta Financial Services Authority requesting admissibility to listing of an Unsecured Euro Medium Term Bond Programme of up to €325 million.

Subject to regulatory approval, BOV will be issuing the first series and first tranche of Tier 2 bonds under the Programme consisting of €100 million (with an overallotment option which may result in the offer being increased to a maximum of €125 million) 5.0% subordinated bonds maturing in 2030-2035.

The bonds will be available for subscription by all categories of investors and will be distributed as follows:

  • An amount of €50 million will be reserved for subscription by holders of the 3.50% BOV subordinated bonds 2030 (Series 1 & 2), 3.75% BOV subordinated bonds 2026/31, 5.0% BOV subordinated bonds 2029/34 Series 1, 5.0% BOV subordinated bonds 2030/35 Series 2 and shareholders of BOV as at close of trading on 14 October 2025, together with employees of the Bank and any of its subsidiaries.
  • An amount of €25 million will be reserved for subscription by Professional Clients and Eligible Counterparties.
  • The remaining €25 million will be reserved for subscription by the general public.

Any portion not fully subscribed to by a particular category of investor will be made available for subscription to another category. Furthermore, any additional bonds allotted further to the exercise of the overallotment option will be allocated at BOV’s discretion depending on the total level of subscription by each category of investor.

Applications will be subject to a minimum subscription amount of €10,000 and in multiples of €100 thereafter, apart from applications by Professional Clients and Eligible Counterparties which will be subject to a minimum subscription amount of €100,000 and in multiples of €100 thereafter.

Applications for bonds by retail clients will be subject to a suitability test conducted by the authorised financial intermediary irrespective of whether investment advice is being provided or not. Further details will be published once regulatory approval is obtained.