Landsbankinn hf. has today concluded the sale of its inaugural Tier 2 issuance. The EUR 100 million 10NC5 structure is callable in September 2023 with a final maturity in September 2028. The issuance is expected to be rated BBB- by S&P Global Ratings.

The bonds were priced at a spread of 285 basis points above the EUR mid-swap market rate, with a coupon of 3.125%. The total demand was EUR 160 million from investors mainly from Scandinavia, Continental Europe and the UK.

The bonds will be issued under the bank’s EMTN programme and are scheduled to be admitted to trading on the Irish Stock Exchange on 6 September 2018.

Joint lead managers on the transaction were Citigroup and J.P. Morgan.

Lilja Einarsdóttir, Landsbankinn’s CEO:

“Landsbankinn is pleased to have reached the milestone of finalising its inaugural sale of a Tier 2 issuance in euros. Investors were very receptive which illustrates the growing trust the bank enjoys on international capital markets. The issuance is a step towards further optimising the bank’s capital structure, supporting long-term return-on-equity targets.”

For further information contact:

Rúnar Pálmason, Public Relations, pr@landsbankinn.is, tel: +354  410 6263

Hanna Kristín Thoroddsen, Investor Relations, ir@landsbankinn.is, tel: +354  410 7310