BTK Issues Subordinated Bonds to Strengthen Capital Base
The BTK has joined the list of credit institutions that have issued bond debt in recent months. The operation aims to mobilize 30 million Tunisian dinars (Mtnd), in the form of subordinated bonds without resorting to a public savings appeal. This is the third year in a row that the credit institution has issued bond debt.
Key Features of the Bond Issue
- A single category of bonds will be offered to subscribers, with a term of 5 years and a unit nominal value of 100 Tnd.
- The amortization is annual and constant from the first year.
- The bonds carry a variable interest rate of TMM + 1.90% per annum.
Subscription Period
The subscription period opens on February 24, 2026, and will close on March 31, 2026, at the latest. It can be closed without notice as soon as the total amount of the issue is fully subscribed. We believe that this is a mere formality and that the amount is already placed, given that the BTK is a group with subsidiaries capable of subscribing to such an amount without difficulty.
Use of Proceeds
The funds raised will be used to strengthen the institution's net own funds and improve its solvency ratios. A stronger capital base will enable the bank to support its customers, whether businesses or individuals, more effectively.
Characteristics of the Bonds
These bonds are considered quasi-equity. In the event of the bank's liquidation, their holders are repaid after all other privileged creditors (hence the term subordinated), which makes them similar to equity capital.
