Helvetia places CHF 400 million hybrid-bond dual-tranche

Helvetia Swiss Insurance Company Ltd. in St.Gallen issued a CHF 275 million perpetual subordinated hybrid-bond, first callable in August 2026. The bonds bears a fixed coupon of 1.5 percent until its first optional call date. At the same time, Helvetia placed a CHF 125 million dated subordinated bond, which matures in 2040, carrying a coupon until its first optional call date in August 2030 of 1.45 percent.

«The placement of the hybrid-bonds on the CHF capital market has taken advantage of the current positive market environment», commented Paul Norton, Chief Financial Officer of Helvetia Group. The proceeds will be used for general corporate purposes, including future refinancing of outstanding subordinated debt instruments in accordance with applicable laws and regulations.

Credit Suisse, Deutsche Bank and UBS acted as joint lead managers to the transaction as well as Raiffeisen Schweiz and Zürcher Kantonalbank as co-managers.