Bank of Ireland rides high with one-and-done AT1

摘要

Bank of ireland showed last week that investors have bought into the Irish banking recovery story, amassing a bumper order book for a new coco that also demonstrated the continuing appeal of the one-off trade. The Irish national champion was the first bank from the country to sell Additional Tier 1 capital in benchmark size, raising €750m of perpetual non-call five-year paper. Permanent TSB had previously placed €125m of notes with a small group of investors in April. The Irish banking sector suffered badly during the financial crisis but the recovery story is now well entrenched. Even so, the bond's expected ratings are B2/B- (Moody's/S&P), among the lowest for a European bank AT1 benchmark since the market opened in 2013. The deal will be temporarily written down if the bank's Common Equity Tier 1 ratio falls below 5.125%.