The BPI Bank will carry out a debt issuance worth 950 million euros to reinforce its financial ratios. The operation will be divided into two distinct issuances, both fully subscribed by the majority shareholder CaixaBank.
With this issuance, the bank intends to reinforce the MREL ratio, which corresponds to the minimum requirement for own funds and eligible liabilities. This metric is fundamental to guarantee that financial institutions have sufficient capacity to absorb losses in case of crisis.
Part of the raised funds will be used to repay 700 million euros from a previous BPI issuance. This debt substitution operation allows the bank to optimize its financing conditions while maintaining the capitalization levels required by European regulation.
The operation demonstrates the strong link between BPI and its Spanish owner CaixaBank, which directly assumes the entirety of the new debt issuance of the Portuguese bank.
