Co-op launches cash tender for its only covered bond

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By Tyler Davies
25 Sep 2020

The Co-operative Bank is looking to buy back any and all of its only outstanding covered bond, as it repositions its funding structure for central bank money and the minimum requirement for own funds and eligible liabilities (MREL).

The UK issuer said it was offering cash in exchange for its £600m November 2021 covered bond. 

The notes were issued in 2011 with a guarantee from Moorland Covered Bonds LLP, at what would now be considered a high coupon rate of 4.75%. 

Co-op said it ...

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