The subordinated notes enables Banque Raiffeisen members and clients to benefit from an investment on favourable terms. The rights and claims of the holders of the notes against the issuer will rank junior to those of the depositors and other unsubordinated creditors of the issuer. The notes are not secured by collateral or covered by any specific guarantee.
Features of the securities
The up to EUR 40,000,000, 2.75 p.a. per cent Notes due 17 may 2032 are issued by the Issuer.
The Issuer’s obligations under the Notes will be unsecured and subordinated and will rank junior in priority of payment to the claims of the Senior Creditors. Senior Creditors are creditors of the Issuer (i) who are depositors and/or other unsubordinated creditors of the Issuer; (ii) whose claims are or are expressed to be subordinated (whether only in the event of the liquidation of the Issuer or otherwise) to the claims of unsubordinated creditors of the Issuer, other than those whose claims by law rank, or by their terms are expressed to rank, pari passu with, or junior to, the claims of the Noteholders.
In the event of a liquidation of the Issuer, the rights of the Noteholders against the Issuer in respect of such Notes (including any damages (if payable)) shall:
- be subordinated to the claims of all Senior Creditors;
- rank pari passu with the claims of all other subordinated creditors of the Issuer which in each case by law rank, or by their terms are expressed to rank pari passu with the Notes (including holders of instruments that qualify as Tier 2 instruments); and
- rank senior to the claims of holders of the Issuer’s shares (parts sociales) and any junior subordinated obligations or other securities of the Issuer which by law rank, or by their terms are expressed to rank, junior to the Notes.
Maturity; Early Redemption
The Issuer may, at its option, redeem all or some only of the Notes once every year starting at the end of the fifth anniversary of the Notes at their principal amount plus accrued interest. Also, the Issuer may, at its option, redeem all, but not some only, of the Notes at any time at their principal amount plus accrued interest, in the event of certain tax changes and in the event of certain regulatory changes. Any early redemption of the Notes is subject to the Issuer having obtained the prior approval of the regulator.