Ageas confirms the full call of Tier 1 (RPCC) and partial settlement of RPN following successful (32,87 EUR, 2,14%) tender offer on CASHES.
The acceptance rate reached more than 50% at an offer price of 47.5%.
Both operations have several positive elements for Ageas:
- Reduced credit risk exposure on Fortis Bank
- Decrease volatility in the results
- Improved liquidity
The operation will lead to a € 159m pre-tax capital gain (write-back of previous impairments vs. par) on the RPCC hybrid. The impact on P&L of the CASHES offer will be published in a press release as soon as announces how many CASHES were tendered and how much it will convert into Ageas shares. With the RPNs valued at € -800m in our SOTP and given the capital gain on the RPCC, we see a positive impact on our SOTP, which is under review.
We maintain our Buy rating with an unchanged target at € 2.85.