Saxo Bank Raises €42.5 Million in Corporate Bond Issue, Lifts Tier 1 Capital

Saxo Bank, the Denmark-based multi-asset brokerage, has conducted a corporate bond issue to be listed on the Irish Stock Exchange .

The issuance raises €42.5 million ($54 million) and bolsters the company’s Tier 1 capital ratio under the European capital requirement rule (CRR) and capital requirement directive (CRD), now in its fourth iteration.

The new issuance is a perpetual with a first call at 26/02-2020; with the coupon being fixed at 9.75% until first call date, with semi-annual interest Payments and an issue price of 100.00%.

Steen Blaafalk, Group Chief Financial & Risk Officer of Saxo Bank, said, “Saxo Bank has seized an opportunity to meet forthcoming capital requirements and is better equipped to achieve our ambitious goals and strengthen our market position further."

The bank’s regulatory capital ratio will be 17.5% as of Q3 2014 pro forma, within the required solvency threshold of 12.4%.

In other developments: Just yesterday, Saxo Bank won the 'Best FX Broker' award at the Forex Magnates Summit in London. Head of International Communications at Saxo Bank, Kasper Elbjørn, commented on the achievement by saying, "Winning the Best FX broker award here today is a proud and humble moment for us."

Earlier this month Saxo Bank published strong trading volume figures for October totalling $392 billion.