Izola Bank’s €7,000,000 in five-year Secured Notes of a nominal value of €1,000, bearing an interest rate of 5.35 per cent per annum, were over-subscribed this week by more than 59 per cent. Subscriptions in excess of €14 million were received, over double the original €7 million Secured Notes that were issued. Due to the high demand, the Issue was increased by the over allotment amount of €2 million to a total of €9,000,000.

Izola Bank has adopted the following allotment policy: subscriptions not exceeding €2,000,000 will be met in full; while subscriptions in excess of €2 million will be satisfied by the allocation of €2 million and a further 39.32 per cent of the remaining balance, rounded down to the nearest thousand.

Interest on the Notes will commence from today. The Notes are expected to be listed on the Malta Stock Exchange by not later than 28 June and trading will commence on 30 June.

The proceeds from these Secured Notes will be principally used to support the general growth of the bank and specifically to further the bank’s factoring and lending activities.

“We are very satisfied with the positive response and we thank the financial intermediaries and institutions for the trust that they have placed in Izola Bank. We are proud to be listing the first securitisation of its nature on the Malta Stock Exchange,” said the bank’s general manager Andrew Mifsud.