05/18/2026 | Press release | Distributed by Public on 05/19/2026 12:05
· Largest ever ESTR linked FRN transaction - EUR 1.5bn
· Largest orderbook on record for any ESTR FRN - Over EUR 5.1bn
On Tuesday 19th May, the EIB priced a new EUR 1.5bn 5Y ESTR linked Floating Rate Note ("FRN") at a Discount Margin of ESTR+26bps. The EIB was last active in the ESTR FRN primary market in January 2021.
The mandate for the new EUR 5Y ESTR linked FRN was announced on Tuesday 19th May with the size set at EUR 1.5bn at the outset and IPTs of ESTR+27bps area. Mid-morning, on the back of an order book standing at EUR 4bn (incl. EUR 250m JLM interest), the spread was set at ESTR+26bps. The tightening however did not deter investors as the book kept growing, closing at EUR 5.1bn (incl. EUR 500m JLM interest) and featuring 50 orders.
Including this transaction, the EIB has raised just under EUR 41bn equivalent so far this year, equating to around 68% of its announced EUR 60bn funding programme.
Composition of demand:
|
By Geographical Region |
By Investor Type |
|||
|
United Kingdom |
50% |
Bank Treasuries |
67% |
|
|
Rest of the World |
26% |
Fund Managers / Pension Funds / Insurance / Other |
18% |
|
|
Europe |
24% |
Central Banks / Official Institutions |
15% |
Summary of Terms and Conditions:
|
Issue Amount |
EUR 1.5 billion |
|
Pricing Date |
19 May 2026 |
|
Settlement Date |
26 May 2026 |
|
Maturity Date |
26 May 2031 |
|
Re-offer Price |
100.00% |
|
Discount Margin |
ESTR+26bps |
|
Coupon |
Daily Compounded ESTR+26bps, Floating, Quarterly, ACT/360, first coupon on 26 Aug 2026 |
|
Format |
EMTN - RegS, Category 1, Registered Form |
|
Listing |
Luxembourg Stock Exchange's Regulated Market |
|
Joint Lead Managers |
Barclays / Deutsche Bank / HSBC / RBC CM |
fi-2026-09-EN