Paris, 21 June 2018
CNP Assurances announces the successful issuance of its inaugural subordinated Restricted Tier 1 notes.
These €500m perpetual notes bear a 4.75% fixed rate until the first call date on 27 June 2028. They feature a principal write-down mechanism together with a mandatory interest cancellation in case of solvency deficiency of CNP Assurances, as required by the Solvency II directive.
The notes are expected to be rated BBB- by Standard & Poor’s and Baa3 by Moody’s.
This issuance will allow CNP Assurances to prepare next call dates and to optimize its capital structure, while maintaining its financial flexibility to issue Restricted Tier 1, Tier 2 and Tier 3 subordinated notes. The proceeds of the notes will be eligible for inclusion in Solvency II regulatory capital.
More than 3 times oversubscribed, the issue was quickly placed with 110 institutional investors on 20 June 2018. This transaction is the largest euro-denominated Restricted Tier 1 subordinated notes issued by a European insurer so far. Its success confirms the confidence of bond investors in the solidity of the CNP Assurances Group.
The settlement of the notes, which will be admitted to trading on Euronext Paris, will take place on 27 June 2018. The prospectus will soon be available on the website of the Company www.cnp.fr and on the website of the Autorité des marchés financiers www.amf-france.org.