UniCredit fixes call option to pref senior deal

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UniCredit fixes call option to pref senior deal

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Unicredit Tower (Torre Unicredit) in the new building complex Porta Nuova in Milan, Italy, 14 March 2015. Photo: NICOLE BECKER/dpa | Nicole Becker/DPA/PA Images

UniCredit made the unusual decision of adding a one year call option to a preferred senior bond on Tuesday, nodding towards the bond’s potential value as total loss-absorbing capacity (TLAC). The Italian bank won strong support on a day when dovish central bank comments were fuelling a big rally in the value of risk assets.

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