Julius Baer Taps Investors Again
Swiss private bank Julius Baer, which calls Asia its second home, has tapped into Asian investors.
Julius Baer has placed perpetual non-cumulative high-trigger Additional Tier 1 (AT1) securities in a debut $300 million transaction with institutional and qualified private banking investors in Asia and Europe.
The securities carry a coupon of 4.75 percent per annum payable semi-annually and include a first optional call date on 12 September 2024 or on each coupon date thereafter.
They have been issued in denominations of $200,000 and multiples of $1,000 thereof. The Zurich headquartered institution said the transaction helps to optimise Julius Baer Group’s capital structure.
Asian Support
Last year the Zurich-based private bank, extended its reach in Asia using the Singapore stock exchange to bolster its capital base. According to the bank it was the first foreign bank to issue such a bond directly in Singapore, underlining the importance of Asia as the company's second home market.
«Through this inaugural RegS USD AT1 transaction, we were able to capitalise on current attractive market conditions and, at the same time, further diversify Julius Baer’s AT1 investor base following the successful issuances in the Swiss and Singaporean markets in recent years,» said Dieter A. Enkelmann, chief financial officer of Julius Baer.
