The issuance is part of BT's growth plan

Banca Transilvania will raise up to EUR 1 billion through bonds, via separate issuances over a period of up to ten years. The bonds are intended for institutional investors, both domestic and international. The issues under the framework plan will support meeting the MREL (Minimum Requirement for Own Funds and Eligible Liabilities) requirements and funding the economy and households.

European rules require banks to maintain at all times an optimal level of MREL-eligible own funds and liabilities. These requirements cannot be met using customer deposits, which are guaranteed by the Bank Deposit Guarantee Fund. The instruments will not be guaranteed and will not be convertible at investors' initiative.

The multi-year programme for issuing MREL-eligible corporate bonds, denominated in euro, lei or other currencies, was approved by Banca Transilvania's shareholders at the Extraordinary General Meeting held in Cluj-Napoca on 18 October this year.

Banca Transilvania has a solid financial position, robust capitalisation and a comfortable capital level. BT will publish its third-quarter financial results on 11 November this year.