Report No. 8/2022

Legal basis:

Article 17.1 of MAR

the Report: 

The Management Board of PKO Bank Polski S.A. (the “Bank”) announces that on 26 April 2022 it adopted a resolution approving an issue of subordinated bonds in the form of subordinated bonds with a ten-year maturity, with the possibility of early redemption on the terms set out in the terms and conditions applicable to subordinated bonds ("New Issue"). The total nominal value of the bonds issued under the New Issue shall be not less than PLN 1,700,000,000 and no more than PLN 2,000,000,000. The bonds shall be issued under the terms of the act on bonds dated 15 January 2015, whilst the proceeds from the New Issue shall, pending approval from the Polish Financial Supervision Authority (“PFSA”), be used to increase the Bank’s Tier II capital under the terms of Article 127 par. 1 and 2 point 2 of the Banking Act, and Article 63 of the Regulation (EU) No. 575/2013 of the European Parliament and of the Council of 26 June 2013. The nominal value of one bond shall be no less then PLN 500,000. The bonds shall earn interest under market conditions at six-monthly intervals.

In addition, the Bank informs that it has decided to exercise - subject to the consent of the PFSA – an early redemption (call option) in relation to subordinated bonds of the OP0827 series issued by the Bank on August 28, 2017, from which the funds obtained were used to increase the Bank's Tier II capital (“Call Option OP0827”).

In reference to the intended execution of Call Option OP0827, the Bank wants the funds obtained from the New Issue to replace the funds received by the Bank from the OP0827 bonds issue. Subject to prior approval from the PFSA, the Call Option OP0827 shall be exercised after the New Issue. During the period between the New Issue and the execution of Call Option OP0827, the Bank’s total liabilities under the OP0827 bond issue and New Issue shall amount to maximum PLN 3,700,000,000.