LONDON, Feb 11 (IFR) - Spain's second largest bank BBVA is
testing European investor demand for a new Additional Tier 1
euro bond at low to mid 7%, according to a lead manager involved
in the deal.
The perpetual non-call five-year issue is expected to be
rated BB- by Fitch and will be BBVA's second Additional Tier 1
transaction in less than a year.
Barclays, BBVA, Citi and Morgan Stanley are joint
bookrunners for the transaction, which will convert to equity if
the bank breaches a 5.125% (bank and group) Common Equity Tier 1
trigger. Pricing is expected later today.
(Reporting by Aimee Donnellan, Editing by Helene Durand, Julian