Eurobank has raised €600 million through a seven-year green senior preferred bond, with the issue attracting strong investor demand. The bond was priced at a spread of 98 basis points over the mid-swap rate and can be called by Eurobank after six years. The transaction supports the bank’s Minimum Requirement for own funds and Eligible Liabilities (MREL) position and follows an update to its Green Bond Framework.
Key Overview
- Eurobank raised €600 million through a seven-year green senior preferred bond.
- The bond can be called by Eurobank after six years.
- Final pricing was set at 98 basis points over the mid-swap rate.
- Initial guidance was around 125 basis points above mid-swap, implying a yield of approximately 4.54%.
- The transaction was strongly oversubscribed, with the final order book representing about 2.5 times the issue, according to Eurobank.
- More than 65 investor accounts participated.
- Foreign investors represented approximately 90% of the order book.
- The bond is expected to receive ratings of Baa1 from Moody’s, BBB- from S&P, BBB from Fitch and BBBH from Morningstar DBRS.
- Eligible green investments cover energy efficiency, renewable energy, clean transport, green buildings, and sustainable water and wastewater management.
Eurobank Raises €600 Million Green Bond
Eurobank raised €600 million through a seven-year green senior preferred bond on Tuesday, with the issue attracting strong investor demand.
The bond can be called by Eurobank after six years and was priced at a spread of 98 basis points over the mid-swap rate.
Initial guidance had placed pricing at around 125 basis points above mid-swap, implying a yield of approximately 4.54 per cent. Strong demand allowed the bank to tighten the spread substantially before completing the €600 million issue.
The bond is expected to receive ratings of Baa1 from Moody’s, BBB- from S&P, BBB from Fitch and BBBH from Morningstar DBRS.
Bond Supports Eurobank’s MREL Position
The transaction forms part of Eurobank’s strategy to meet and strengthen its Minimum Requirement for own funds and Eligible Liabilities (MREL) position by raising eligible capital through international markets.
Barclays, Commerzbank, HSBC, Natixis and Société Générale are acting as joint bookrunners on the transaction.
The latest issue also builds on Eurobank’s previous activity in the green senior preferred debt market. The bank made its first comparable green senior preferred issue in 2024, raising €850 million through the transaction.
Eurobank Updates Green Bond Framework
The latest bond follows Eurobank’s recent update of its Green Bond Framework, which establishes the criteria under which the bank can raise funds from capital markets to finance environmentally sustainable investments.
The updated framework provides the basis for the bank’s latest move into the green debt market. It sets out which projects can receive financing, the criteria used to select them and how the use of proceeds will be monitored.
It is the second update to the framework since its original introduction in 2021, incorporating experience gained from the €850 million green bond issued in 2024.
Five Areas Eligible for Green Financing
Eligible investments under the framework are divided into five main areas.
The framework also contains exclusions covering activities including weapons, tobacco, alcohol, gambling and radioactive materials, as well as certain activities linked to the exploitation of natural resources.
Eurobank has committed to publishing an annual report on the allocation of the proceeds. The process is also subject to external assessment and independent verification.
Context is everything. Stay ahead of shifting trends with today’s market updates, and uncover emerging opportunities using the Serrari Group Market Index and Marketplace. Then, take control of your own financial future by exploring our Money & Life Reset Transformation Blueprint ™ to build stronger habits, create better systems, and design a path toward lasting wealth.
Foreign Investors Dominate Order Book
Investor demand for the bond was strong during the transaction.
The final order book represented an oversubscription of about 2.5 times, according to Eurobank, with more than 65 investor accounts participating in the book-building process.
Foreign investors accounted for approximately 90 per cent of the order book.
Investors from Belgium, the Netherlands and Luxembourg collectively represented 27% of demand, followed by the United Kingdom with 23% and France with 20%.
Germany, Austria and Switzerland collectively accounted for a further 11% of demand.
The strong participation allowed Eurobank to reduce the spread from its initial guidance of approximately 125 basis points over mid-swap to the final 98 basis points.
Eurobank Reports New Share Issuance
Separately, Eurobank said 231 members of management and staff exercised stock options, leading to the issue of 6,555,561 new ordinary voting shares.
Following the capital increase, share capital stands at 794,193,255.46 euro, divided into 3,609,969,343 shares with a nominal value of 0.22 euro each.
Eurobank Market Valuation Data
On the market side, Yahoo Finance showed Eurobank with a market value of 9.127 billion on September 2, 2026, while a separate quote page put the Greek bank at 4.3360 euro, with a market capitalization of 16.455 billion euro and a regional banks classification.
The split across data vendors underlines how investors should read the financing news together with the current trading snapshot.
Outlook
Eurobank’s €600 million green senior preferred bond strengthens its MREL position while expanding its green debt financing. Strong investor demand allowed the bank to tighten pricing from initial guidance, while the updated Green Bond Framework provides the basis for directing proceeds toward eligible sustainable investments.
The framework covers energy efficiency, renewable energy, clean transport, green buildings, and sustainable water and wastewater management, with annual reporting, external assessment and independent verification of proceeds allocation.
FAQs
1. How much did Eurobank raise through the green bond?
Eurobank raised €600 million through a seven-year green senior preferred bond.
2. What is the maturity and call feature of Eurobank’s bond?
The bond has a seven-year maturity and can be called by Eurobank after six years.
3. What will Eurobank use the green bond proceeds for?
Eligible investments include energy efficiency, renewable energy, clean transport, green buildings, and sustainable water and wastewater management.
4. How strong was investor demand for the Eurobank bond?
The final order book represented about 2.5 times oversubscription, with more than 65 investor accounts participating. Foreign investors accounted for approximately 90% of the order book.
Sources: Cyprus Business News, Cyprus Mail, Cyprus Inform, AD HOC NEWS
Your financial future isn’t something you wait for—it’s something you build.
The real question is: when do you begin?
Move beyond simply staying informed.
Navigate the markets with clarity—track trends through the Serrari Group Market Index, uncover opportunities in the Serrari Marketplace, and build practical knowledge with our Curated Wealth Builder Platform.
Stay connected to what truly matters.
Get daily insights on macro trends and financial movements across Kenya, Africa, and global markets—delivered through the Serrari Newsletter.
Growth opens doors.
Advance your career through professional programs including ACCA, HESI A2, ATI TEAS 7 , HESI EXIT , NCLEX – RN and NCLEX – PN, Financial Literacy!🌟—designed to move you forward with confidence.
See where money is flowing—clearly and in real time.
Track Money Market Funds, Treasury Bills, Treasury Bonds, Green Bonds, and Fixed Deposits, alongside global and African indexes, key economic indicators, and the evolving Crypto and stablecoin landscape—all within Serrari’s Market Index.
