How can we help you today?

Tier 2 (Subdebt) 

Since 2017, Akbank has issued three Tier 2 eurobonds totalling USD 1.400 million.

ISIN Issue Date Maturity Date Currency Issued Amount(Million) Coupon (%) Listed On Offering Circular
US00972BAB53/XS1574750292 15.03.2017 16.03.2027 USD 500 7.2 Irish Stock Exchange
US00972BAC37/XS1772360803 20.02.2018 27.04.2028 USD 400 6.8 Irish Stock Exchange
US00971YAJ91/XS2355183091 22.06.2021 22.06.2031 USD 500 6.8 Irish Stock Exchange
  • March 2017 –. 10NC5, Basel III, USD 500 million Tier 2:
    • First conventional subordinated bank-capital bond issuance out of Turkey since April 2016.
    • Debut subordinated bond offering by Akbank in 2017.
    • Akbank paved the way for subsequent issuances of the peers in 2017 and pioneered the Turkish banking sector once again.
    • The final book attracted c. USD 2 billion from 180 investors indicating a 4x oversubscription.
    • Tightest Senior vs. Tier 2 spread differential at issue in Turkey as of transaction date.
    • Largest order book for a Turkish Basel III compliant Tier 2 Bond as of transaction date.
    • In March 16 2022, Akbank successfully called its Tier 2 issuance.
  • February 2018 –10 NC5, Basel III, USD 400million Tier 2:
    • Lowest Basel III compliant T2 spread to mid-swaps ever recorded in Turkey (+403bps).
    • Successfully priced transaction amid volatile market conditions during live execution, at minimal New Issue Premium.
  • June 2021 – 10NC5, Basel III, USD 500 million sustainable Tier 2:
    • Akbank became the first deposit bank in the Turkish banking sector to issue sustainable subordinated debt.
    • The final book attracted c. USD 1.4 billion from more than 150 investors indicating a nearly 3x oversubscription.
    • The regional breakdown of the investors: 35% are from the United Kingdom, 30% from the United States (Americas), 30% from Europe and the remaining 5% from the Middle East and Asia.
    • 39% of total investors consist of ESG (sustainable debt instruments focused) investors
Subdebt- Investor Breakdown*

* Calculated according to initial allocation

Was this helpful? Yes No