MADRID, March 6 Santander on Wednesday
said it was offering to buy back a maximum of just over $12
billion in subordinated bonds as the Spanish bank shores up its
The bank said it was carrying out the buybacks to generate
capital and better manage future interest payments on its debt,
as well as to create liquidity for these bonds in the market.
Its offer included securities in dollars, pounds sterling
Santander said it was offering to buy back up to 6.5 billion
euros ($8.47 billion) of subordinated perpetual bonds and 2.2
billion pounds ($3.33 billion) of similar securities, with a
deadline of March 13.
Santander also offered to buy back up to $257 million of
subordinated bonds, with the same deadline.
The buyback prices range from between 60 and 103 percent of
the face value of the securities for the bonds in euros and
pounds. The bank is offering to buy back the dollar issue at 102
percent of face value.
($1 = 0.7677 euros)
($1 = 0.6614 British pounds)
(Reporting by Sarah White, Editing by Clare Kane and Jane