Mapfre Issues €600 M In Subordinated Bonds With 236 European Institutional Investors

MapfreMapfre solvency ratio at 205,3% end-March 2022

Spanish insurer Mapfre has successfully concluded a placement of 30-year subordinated bonds, with a call option at year 10, for an amount of €600 million, at a fixed interest rate of 4.375% during the first ten years. Demand exceeded €3.5 billion and was very diversified, meaning that the issuance was able to be placed with 236 institutional investors from different European countries. The UK and Ireland took up 22% of the total issuance, France 16%, Germany and Austria 14% and Italy 13%. From Spain, 42 institutional investors participated, taking up 11.6% of the total.

The majority of the investors who participated in the placement (78% of the total) were investment funds, followed by insurance companies and pension funds (13%), financial institutions (6%) and central banks and other public organisations (3%). The funds raised by this operation are expected to be disbursed on March 31 and they will provide Mapfre with greater financial flexibility and more diversified funding sources.


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The Corner
The Corner has a team of on-the-ground reporters in capital cities ranging from New York to Beijing. Their stories are edited by the teams at the Spanish magazine Consejeros (for members of companies’ boards of directors) and at the stock market news site Consenso Del Mercado (market consensus). They have worked in economics and communication for over 25 years.