Second issue of covered bonds by Millennium Bank Hipoteczny

The mortgage covered bonds were issued as part of the Millennium Bank Hipoteczny Mortgage Covered Bond Issue Programme on the basis of the Base Prospectus approved by the Polish Financial Supervision Authority on 15 April 2024. The instruments have been admitted to trading on the parallel market of the Warsaw Stock Exchange.

The covered bonds issue date was 5 November 2024, and their maturity date is 5 November 2029. The instruments were valued in the bookbuilding process at 80 basis points above WIBOR 3M. 37 investors submitted declarations to purchase the covered bonds offered, and the total amount of subscriptions collected amounted to almost PLN 800 million.

The Covered Bonds were assigned a rating of AAA with a stable outlook by Fitch Ratings Ireland Limited (Frankfurt am Main).

Millennium Bank Hipoteczny has carried out its already second issue of covered bonds this year and this time it has increased the value of the issue and extended the maturity of the instruments. Covered bond issues are in line with the Bank Millennium Group's strategy and are an important element of the Group's financing structure — said Fernando Bicho, Deputy Chairman of the Management Board of Bank Millennium and Chairman of the Supervisory Board of Millennium Bank Hipoteczny.

- We are pleased with the success of the next covered bond issue. Our covered bonds have the highest rating among domestic mortgage banks, which has enabled us to achieve attractive price conditions on a rather demanding market. We are observing a growing investor base and their diversified structure. We would like to thank investors for their trust and our partners for their support in carrying out the next issue — says Agata Chrzanowska, Chairman of the Management Board of Millennium Bank Hipoteczny.

The entities involved in the transaction were Bank Millennium S.A. as the Arranger and Calculation Agent, the Brokerage Office of Bank Millennium S.A. as the Investment Company and Technical Agent and the Brokerage House of Bank Ochrony Środowiska S.A. as the Additional Investment Company. Legal advice on the second issue of mortgage covered bonds was provided by the law firm Allen Overy Shearman Sterling, A. Pędzich sp.k.