Bank of Valletta plc - Medium Term Note Programme

On 16 September 2022, Bank of Valletta plc announced that it has been granted regulatory approval in respect of a Base Prospectus for the issuance of a medium term Programme of Notes of up to a maximum aggregate principal amount of €500 million. An application will be made for the Notes to be admitted to the official list and to trading on the regulated market of the Irish Stock Exchange plc. The Base Prospectus is valid for twelve months and the Notes under the Programme may be issued as senior preferred, senior non-preferred, or Tier 2, subject to a minimum denomination of €100,000 (or equivalent in any other currency).

Tranches of Notes issued under the Programme may be rated or unrated, and the Notes will be offered in the international debt capital markets through the intermediation of two international banks – Credit Suisse Bank (Europe), S.A. and UBS Europe SE – as joint arrangers and dealers. Moreover, the Notes are not intended to be offered, sold, or otherwise made available to and should not be offered, sold, or otherwise made available to any retail investor in the European Economic Area or the United Kingdom.

BOV explained that the net proceeds from each issue of Notes will be used to further strengthen the MREL and/or capital base of the Bank and/or its subsidiaries as well as for general financing purposes. The increased MREL requirement is applicable to all European banks and will reach its full maturity level after a transition period by end 2023. Reaching such MREL level will allow BOV to increase its lending book and expand the investment horizon of its proprietary investments.