Last updated: 21:17 / Monday, 20 January 2014
Roadshow in Switzerland

Banco Santander Chile Issues Debt for 300 Millions Swiss Francs

Banco Santander Chile Issues Debt for 300 Millions Swiss Francs

After a two-day roadshow in different cities of Switzerland, Banco Santander Chile has issued a new bond in that country. The operation is for a total amount of 300 millions Swiss francs (about US$ 330 million) at a price of CHF Mid swap +68 bps for a 3.5 years term. This translates into a cost of UF +2.87% (equivalent to BCU +93 bps, lowering than the cost of local funding for that term) under Swiss Law.

The transaction was announced in Zurich, with a minimum amount of CHF 200 millions. The order book was oversubscribed, with demand anchored by several Swiss banks, investment funds, private banks and other investment managers, which endorsed the increase in the amount placed. This time, the underwriters were UBS and BNP Paribas banks.

"The very favorable reception of this bond in the Swiss market reflects the good perception that foreign investors have of Chilean risk, the local banks and in particular of Banco Santander Chile", said Pedro Murua, Structured Finance Manager of Banco Santander Chile. The operation would be the largest bond in the history of the Swiss market from a Latin American bank issuer.

Santander Brasil has issued as well bonds for USD$2,5 billion in the past days.

For your information...

Banco Santander Chile al 30 de septiembre de 2013 es el mayor banco en Chile por activos, con 41.500 millones de dólares y patrimonio (4.500 millones de dólares). El banco cuenta con 488 sucursales, 1.915 cajeros automáticos y 3,4 millones de clientes. Santander Chile tiene además una de las clasificaciones de riesgo más altas en la región con un A+ de Fitch, A de Standard and Poor’s y Aa3 de Moody’s.

Al cierre de septiembre, el banco contaba con un ratio de core capital del 10,4%. El mayor accionista del banco es el Grupo Santander, que controla el 67% de la propiedad.