SOURCE: Islandsbanki

September 29, 2005 09:27 ET

Islandsbanki's First Global Bond Issue

REYKJAVIK, ICELAND -- (MARKET WIRE) -- September 29, 2005 -- Islandsbanki has concluded the sale of a USD 1.05 billion bond offering. The issue was lead managed by joint bookrunners Deutsche Bank, JP Morgan Securities and Nomura Securities and is the Bank's first bond issue in Global / US 144a format.

Islandsbanki puts great emphasis on the diversification of its investor base and this transaction saw 40% distribution into US investors. Placing bonds for the first time among US medium and long term investors is therefore a breakthrough for the Bank.

The transaction is Islandsbanki's single largest funding exercise to date and the is the first time that an Icelandic entity has issued a global bond. The transaction, which followed investor presentations in USA and Asia, was split into two tranches, a USD 750 million 3-year floating rate notes and a USD 300 million 5-year fixed rate note.

The Bank expects to be a regular issuer in the US markets in the future.

About Islandsbanki

Islandsbanki is a leading financial group that offers universal banking. The banking group has branches in Denmark, Norway and the UK, and a bank in Luxembourg. Islandsbanki is listed on the Icelandic Stock Exchange. Islandsbanki has a market capitalization of approximately USD 3.2 billion. Islandsbanki recently announced record high profits for the first half of 2005. Total assets per end of second quarter 2005 were USD 20.5 billion.

Contact Information

  • For further information, please contact:
    William Symington
    Funding Director
    tel. +44 20 7710 9112

    Ingvar H. Ragnarsson
    Executive Director & Head of Treasury
    tel. +354 844 4665