UOB prices $796.76m bonds at 0.25%

They are expected to be issued by 11 September.

UOB issued its $796.76m (€500m) covered bonds due 2023 at 0.25%. They will be the sixth series under the US$8b global covered bond programme of the bank.

The bank will be joined by HSBC France, Norddeutsche Landesbank – Girozentrale, Société Générale, and UBS Limited as lead managers for the covered bonds.

According to an announcement, said bonds will be guaranteed as to payments of interest and principal by Singapore finance firm Glacier Eighty (CBG). 

“The guarantee is secured by a portfolio of loans purchased by the CBG from the Company and other assets of the CBG Ratings,” UOB explained.

Eyed for issuance on 11 September, the covered bonds are expected to be rated Aaa by Moody’s Investors Service and AAA by Standard & Poor's Rating Services.

They will also file an application to the Singapore Exchange Securities Trading(the (SGX-ST) for the listing and quotation of the bonds.