Arion Bank successfully issues bonds in euros

On Tuesday 13 March, Arion Bank issued new 5 year senior unsecured bonds for a total of €300 million. The bond issue was oversubscribed, orders were received from over 40 investors with total demand around €375 million.

The bonds have a fixed coupon of 1.0% and were sold at rates corresponding to a 0.65% margin over interbank rates. In addition the Bank is subject to an Icelandic bank tax of 0.376% of p.a. Arion Bank mandated Barclays, Citi and Deutsche Bank for the transaction.