UBS issued two new debt instruments on Friday. Then came the announcement of its forced takeover of Credit Suisse. Now UBS is offering to buy them back.
On March 17, UBS issued two bail-in notes with a volume of 2.75 billion Swiss francs ($2.97 billion), which it is now offering the buyers cash to purchase back, UBS announced Wednesday.
Exceptional Actions
UBS said it was in compliance with all of its obligations since the issue of the notes but «is offering to purchase the notes at their respective re-offer price in light of the exceptional corporate actions announced on 19 March.»
UBS has decided to take this action based on a prudent assessment of these recent developments and the issuer's long-term commitment to its credit investors, the statement added.
The Details
- Fixed-rate note with a 4.625 percent coupon maturing in March 2028 with a volume of 1.5 billion francs. The price payable is 99.932 percent of the principal amount of the relevant note accepted for purchase. (ISIN CH1255915006).
- Fixed-rate note with a 4.750 percent coupon maturing in March 2032 with a volume of 1.25 billion francs. The price payable is 99.518 percent of the principal amount of the relevant note accepted for purchase.(ISIN CH1255915014).
- Offers will commence today with an early expiration deadline of March 28, and a final deadline of April 4.
