Equitable Bank completes successful issuance of €500 million of covered bonds, furthering diversification of the bank's funding

Equitable Bank (the “Bank” or “Equitable”) announced that it has successfully executed its latest offering of €500 million (CAD $797 million) of covered bonds (the “bonds”). The bonds were issued under the Bank’s CAD $3.0 billion Global Legislative Covered Bond Programme (the “program”) and represent Equitable’s seventh covered bond issuance since the launch of the program in 2021.

“We are pleased with the continued strong investor support for Equitable Bank’s covered bond issuance,” said Anilisa Sainani, EVP and Chief Financial Officer, EQ Bank. “Alongside the recent acquisition of PC Financial, this issuance is important in our increasingly diversified funding stack, which supports our plans for growth, maintains our strong investment profile and fuels our mission to build a better banking experience for Canadian families and businesses.”

The €500 million 3.75% coupon covered bonds were priced to yield 3.789% and will mature on December 7, 2029. The bonds are rated Aa1 by Moody’s and AA+ by Fitch.

The issuance was completed with Barclays Bank, The Toronto-Dominion Bank, Commerzbank, DZ BANK, Erste Group Bank, Landesbank Baden-Württemberg, and the Bank of Nova Scotia.

In the United Kingdom, this announcement is being distributed only to, and is directed only at, persons who: (A) (i) are “investment professionals” specified in Article 19(5) of the Financial Services and Markets Act (Financial Promotion) Order 2005 (the “Order”) or (ii) high net worth entities falling within Article 49(2)(a) to (d) of the Order or (iii) are other persons to whom it may otherwise lawfully be communicated; and (B) are “qualified investors” within the meaning of  paragraph 15 of Schedule 1 to the Public Offers and Admissions to Trading Regulations 2024 (all such persons together being referred to as “Relevant Persons”). In the European Economic Area (the “EEA”), this announcement is addressed only to and directed only at, persons in member states who are “qualified investors” within the meaning of Article 2(e) of Regulation ((EU) 2017/1129 (“Qualified Investors”). This announcement must not be acted on or relied on (i) in the United Kingdom, by persons who are not Relevant Persons, and (ii) in any member state of the EEA, by persons who are not Qualified Investors. Any investment or investment activity to which this announcement relates is available only to: (i) in the United Kingdom, Relevant Persons; and (ii) in any member state of the EEA, Qualified Investors, and will be engaged in only with such persons. 

About Equitable Bank

EQB Inc. (TSX: EQB) is a leading Canadian financial services company with approximately $151 billion in combined assets under management and administration. It is the parent company of Equitable Bank, the country’s seventh largest Schedule I bank by assets, which operates EQ Bank, Canada’s Challenger Bank^™.

Our purpose is to remake banking so every Canadian gets ahead, every day. Since 1970, we have built thoughtful financial solutions that serve more than 4 million customers, turning everyday moments into meaningful progress. As the exclusive financial partner of Loblaw Companies Limited’s PC Optimum™ loyalty program – one of Canada’s largest loyalty programs with more than 18 million members – EQ Bank’s financial solutions are deeply embedded into the daily lives of Canadians.  

We provide personal and commercial banking services to Canadian households and businesses through everyday banking, tailored lending and connected payments, while fueling competition and choice in Canadian banking. Through our subsidiaries, we also offer home and auto insurance, estate and trust services, credit union solutions and alternative asset management. 

To learn more, visit eqb.investorroom.com and eqbank.ca, or connect with us on Instagram, Facebook or LinkedIn.

Source : Equitable Bank