< Back to News

MeDirect Bank (Malta) P.L.C. 4% Subordinated Unsecured Bonds 2024-2029

MeDirect_logo

MeDirect Bank (Malta) P.L.C. has announced the issue of €35,000,000 of 4% Subordinated Unsecured Bonds redeemable between 2024-2029, issued at par in Euro (EUR Bonds) and Pounds Sterling (GBP Bonds) with a nominal value of €100.

If you wish to apply for these bonds see information at the bottom of this article or contact us on +356 25 688 888.

 

BUSINESS OVERVIEW:

The Issuer was registered under the laws of Malta on 11 June 2004 and was issued a licence in terms of the Banking Act (Cap. 371 of the laws of Malta) from the MFSA on 21 June 2007 and has been in operation as a credit institution since that date.

The Issuer commenced operations as Mediterranean Bank in June 2004, becoming a fully licensed Maltese credit institution in 2007. Since such time, the Issuer expanded its operations to Belgium through the operation of a branch and later as a subsidiary, MeDirect Bank SA/NV.

In 2010, the Issuer acquired a majority stake in Charts Investment Management Services Limited, a Maltese stockbroking, wealth management and corporate advisory firm, completing its takeover in 2015, and then fully incorporating the “Charts” investment services license in 2018 by virtue of a merger. This enabled the Issuer to offer superior investment advisory services, as well as corporate broking services to local and international companies.

The Issuer has continued to steadily build a strong reputation in Malta as a leading savings

and wealth management bank, with branches in Sliema, Paola, Mosta and Gozo and acquiring Volksbank Malta Limited in 2014 to enhance and broaden its corporate lending portfolio to Maltese clients.

 

COMPANY OVERVIEW:

The principal activity of the issuer is to carry out the business of banking, to undertake money transmission services, to issue and administer means of payment, to issue guarantees and commitments, to trade on own account and/or for the account of customers in a number of instruments, to provide portfolio management and advice and to provide safe keeping services.

The Issuer focuses on wealth management, savings and investments. The Issuer also holds a Category 2 and Category 4A license issued by the MFSA which authorises the Issuer to provide investment services, to hold or control clients’ money and to act as trustee or custodian of collective investment schemes.

 

TERMS:

The bonds are open for subscription during the offer period by:

i) Existing bondholders listed on the register as at 11th October 2019 who may surrender part, all and/or excess of their existing bonds (6% MeDirect Bank plc Subordinated Unsecured € 2019-2024 and 6% MeDirect Bank plc Subordinated Unsecured £ 2019-2024) in exchange for the new bonds;

ii)  The general public through an Intermediaries’ Offer.

 

USE OF PROCEEDS:

The bonds will be issued against the surrender and conversion of Existing Bonds in favour of the issuer. Any surplus funds received from the Bond Issue which are not utilised to redeem the amount outstanding under the Existing Bonds will be used to part-finance the redemption of the upcoming Maturing Bonds (MT0000551227, MT0000551235, MT0000551243 & MT0000551250) and for general corporate funding purposes of the Group.

 

Regulatory requirements and assessments have to be met satisfactorily prior to acceptance and execution of the order since these bonds are complex financial instruments and may not be suitable for all types of retail investors. A prospective investor should not invest in the bonds unless: (a) he/she has the necessary knowledge and experience to understand the risks relating to this type of financial instrument; (b) the bonds meet the investment objectives of the potential investor; and (c) the prospective investor is able to bear the investment and financial risks which result from investing in the bonds.

Investors are strongly advised to carefully read the risk factors in the Prospectus.

 

HOW TO REGISTER TO BUY BONDS?

Applications must be for a minimum value of €25,000 or £20,000 and multiples of €100/£100.

All orders must be submitted by not later than the 23rd of October, 2019 @ 1200hrs (Closing date).

The offer may close at an earlier date without prior notice in case of over-subscription.

A copy of the Prospectus is available HERE

 

Orders may be placed by reaching out to your Financial Advisor or contacting us on +356 25 688 688, via email on [email protected], or via live chat on www.cc.com.mt.