The Ministry of Finance carries out this year first issue of FIDELIS government bonds for retail investors between March 17 and April 1

3/17/2022

  • The Ministry of Finance is carrying out a new public offer for the sale of Fidelis government bonds for individual investors on Bucharest Stock Exchange, between March 17 and April 1.
  • It is the seventh FIDELIS public offer carried out by the Ministry of Finance on the capital market starting with July 2020. Through the first six offers carried out in 2020 and 2021, the Ministry of Finance attracted from the retail investors over RON 9bn (EUR 1.8bn)

 

The Ministry of Finance (MF) continues the issues of FIDELIS government bonds for retail investors and launches on Bucharest Stock Exchange (BVB) the first issue in 2022. Through the previous six offers, the Ministry of Finance attracted from the retail investors over RON 9bn (EUR 1.8bn).

‘The Ministry of Finance continues the FIDELIS program by launching the first edition of government bonds issuance in 2022. Since the beginning of the program, investors' participation has been on an upward trend, the amounts attracted demonstrating the viability of this type of instrument correlated with the savings needs of individual investors. We look with confidence at the development of the capital market and to the contribution of this program to the diversification of financial instruments available on the market and we appreciate the involvement of the brokerage syndicate and the BVB in the current highly volatile context, which requires complementary efforts to act and support the financial markets’, stated Adrian Caciu, Ministry of Finance.

Resident and non-resident individuals over the age of 18 years can subscribe Fidelis government bonds denominated in RON and EUR within the public sale offer carried out on Bucharest Stock Exchange, between March 17 and April, 1, through BT Capital Partners & Banca TransilvaniaBCR, BRD - Groupe Societe Generale and Alpha Bank Romania.

‘In the two years since the Ministry of Finance launched the FIDELIS program, the number of stock investors has steadily increased. The diversification is an essential element in order to generate a growing number of investors and to increase the impact of the capital market into the economy. The government and corporate bonds are a suitable financial instrument for any category of investors, both for those with experience, but especially for those at the beginning of this journey’, said Radu Hanga, Bucharest Stock Exchange President.

‘The Ministry of Finance is a reliable partner both by providing support for all projects that the entire capital market community carries out, and by the consistency with which it conducts public offerings of government bonds. FIDELIS is already recognized by Romanians as a flagship program of the Romanian State, and the success of the previous six offers reflects on the one hand the interest of the population for this type of financial instrument, and on the other hand the capacity of the capital market to support financing needs, both from the state and the private sector’, said Adrian Tanase, Bucharest Stock Exchange CEO.

The details are available in the table below:

Criteria

RON issue 2023

RON issue 2025

EUR issue 2023

EUR issue 2024

ISIN

ROZB4WKZN6C4

RO5N3BT6R987

ROX9A2SYZM27

RO4BN5DL46D3

Ticker

R2304A

R2504A

R2304AE

R2404AE

Maturity

April 6, 2023

April 6, 2025

April 6, 2023

April 6, 2024

Yearly interest rate

4.75% p.a.

5.50% p.a.

1.20% p.a.

1.60% p.a.

Offering period

March 17 – April 1

March 17 – April 1

March 17 – April 1

March 17 – April 1

Nominal value

RON 100

RON 100

EUR 100

EUR 100

Minimum subscription value

RON 5,000

RON 5,000

EUR 1,000

EUR 1,000

 

The allocation of the government bonds subscribed within the offer will be executed on the allocation date (April 1, 2022), and the final number of government bonds offered will be established by the issuer in consultation with the intermediary syndicate. The orders related to the subscriptions allocated to investors based on the subscriptions validated by the members of the syndicate / Eligible Participants will be registered in BVB’s trading system dedicated to public offers (government bonds). The first trading day is estimated to be April 7, 2022.

The income obtained through the investment in FIDELIS government bonds, both from interest and from capital gains, is non-taxable. Also, the subscriptions can be made through Eligible Participants, which represent any intermediary authorized by Financial Supervisory Authority, which is financial investment company or credit institution registered as a participant in Bucharest Stock Exchange’s trading system that signed the commitment regarding the conditions of the offer, the provisions of the issue prospectus and sent the commitment to the Lead Manager. The intermediary syndicate of the offer includes BT Capital Partners (Lead Manager) & Banca Transilvania, BCR, BRD and Alpha Bank Romania.

More details can be found on BVB website.