Bigbank’s Subordinated Bond Offering Oversubscribed More Than Fourfold
On Thursday, June 19, Bigbank successfully concluded the public offering of its unsecured subordinated bonds with an annual interest rate of 6.5%. The offering attracted strong investor interest and was oversubscribed by more than four times. In response to the high demand, we exercised our right to increase the base issue volume, ultimately issuing 6 million euros worth of bonds with a 10-year maturity—up from the initially planned 3 million euros.
1 050 investors participated in the offering, subscribing subordinated bonds in the total amount of 12.9 million euros. The subscription results clearly reflect strong investor confidence in Bigbank’s future plans. The capital raised will enable us to continue executing our business strategy, with a focus on expanding in the housing and corporate loan segments, while ensuring compliance with regulatory capital requirements.
In the allocation of subordinated bonds, the Management Board of Bigbank decided to aggregate all subscription orders submitted by the same investor and to fully allocate subscriptions up to 13,000 euros per investor. Employees of companies belonging to the Bigbank group, as well as members of the Management and Supervisory Boards, were allocated 100% of their subscribed amount. Other investors were allocated 1.95% of the portion of their subscriptions exceeding 13,000 euros. The number of bonds with decimal places was rounded to the nearest whole number.
The Bonds are expected to be transferred to the securities accounts of investors on or about 27 June 2025 and the first trading day of the bonds on the Baltic Bonds List of Nasdaq Tallinn Stock Exchange is expected to be on or about 30 June 2025.
The public offering of Bigbank AS’s unsecured subordinated bonds took place from June 10 to June 19, 2025. This was the first series under Bigbank’s unsecured subordinated bond issuance program. Within the framework of the program, Bigbank has the opportunity to raise up to a total of 25 million euros.