The Ministry of Economy and Finance announces the issuance of BTP Più, that will be held from Monday 17th February to Friday 21st February (until 1 p.m.), unless early closing. It is the first retail bond within the BTP Valore family with an option for early redemption.
The bond will have a maturity of 8 years, with quarterly coupons payments based on a step-up mechanism in two stages of four years each and a higher coupon rate in the second stage.
The new feature of this issuance is the option for investors to ask for early redemption after 4 years, redeeming the entire invested amount or a portion of it, always in minimum lots of € 1,000, by giving a notice to the bank or the postal office during a specific time window that will be announced by the Ministry of Economy and Finance in January 2029 and included in the term sheet of the bond to be published soon. The option for early redemption is provided only for those who purchase the bond during the placement period and hold it until the exercise date of the option. The subscribed principal is still guaranteed at the final maturity of eight years for investors who will not have exercised this option.
The bond can always be sold in whole or in part before its maturity, without constraint, at market conditions.
The minimum investment amount is equal to € 1,000 and it is guaranteed the full allotment of the overall demand. The bond can be purchased at par (price equal to 100) without fees during the placement period, subject to any fee related to the securities deposit account management or online trading specified and agreed upon with the investor's bank, where applicable.
The minimum guaranteed rates in the first four years and the next four years, together with the ISIN code identifying the bond, will be announced on Friday, February the 14th.
The BTP Più can be purchased exclusively by retail investors through their home banking, if it is enabled for online trading, or by their contact person at the bank or post office where they have a current account with a securities deposit account.
This bond is subject to a preferential tax rate of 12.5%. The Inheritance Tax does not apply, and – as foreseen by the 2024 Budget Law – it is possible to exclude investments in Italian Government bonds from the ISEE calculation, up to a maximum limit of € 50,000.
The placement will take place on the MOT platform (Borsa Italiana's electronic market for bonds and government securities) through three dealer banks: Banca Monte dei Paschi di Siena S.p.A., Intesa Sanpaolo S.p.A and UniCredit S.p.A.
Please note that all official communications on the new BTP Più, the FAQ, the term sheet and the technical note for market participants will be published on the website of the Ministry of Economy and Finance (www.mef.gov.it) and on the website of the Department of the Treasury in the Public Debt section (www.dt.mef.gov.it/en/debito_pubblico).
