On Friday Arion Bank hf. concluded the sale of two inflation-linked covered bonds listed on the Nasdaq Iceland.
The inflation linked issue ARION CBI 21 was tapped for an amount of ISK 600,000,000 at a yield of 3.31% and the inflation linked issue ARION CBI 29 was tapped for an amount of ISK 3,120,000,000 at a yield of 3.45%.
Bond series are indexed to the CPI and have been admitted to trading on Nasdaq Iceland. According to Arion Bank´s issuance schedule the next inflation linked auction is in September.
Covered bonds are used to finance Arion Bank‘s retail mortgage business. Arion Bank currently offers inflation linked retail mortgages at 3.90% fixed interest rate for five years and 3.85% variable interest rate.
For further information please contact Haraldur Guðni Eiðsson of Arion Bank´s Communications division, haraldur.eidsson@arionbanki.is, or tel. +354 444 7108.