CMS advises PKO BP on issuing new subordinated bonds

CMS has advised PKO BP on the new issue of subordinated bonds for the amount of PLN 1.7 billion.

The funds will be allocated to the Bank’s increase of Tier II capital. The Polish Financial Supervision Authority has already granted its consent to the above operation.  

“This year, this is the first such large issue on the Polish market, carried out in accordance with the CRR. The need to comply with many stringent requirements and to obtain appropriate permits from the Polish Financial Supervision Authority is an important challenge faced by an institution that issues subordinated bonds based on this regulation and other acts issued on its basis” – emphasises Adam Stopyra, PhD, Counsel heading CMS’s regulatory practice, who led the team that advised PKO BP. 

The scope of CMS’s work covered the complex process of carrying out the issue, including drafting the issue documentation and preparing appropriate requests to the Polish Financial Supervision Authority and the Central Securities Depository of Poland. The team comprised Łukasz Machalski, legal counsel and Magdalena Trzepizur, advocate. 

The financial sector regulatory practice is part of CMS’s Department of Banking and Finance, which is made up of over 20 lawyers. The banking practice is highly ranked by Legal500 as well as the “Polityka” Insight 2017 ranking of Polish regulatory law firms, confirming its reputation as one of the leading practices on the Polish market.