1357 GMT - Raiffeisen Bank International plans to redeem its 8.659% additional tier 1 $(AT1.AU)$ bond in June, it said in a press statement Tuesday. However, it plans to extend the 4.500% AT1 bond whose first reset date is on June 15. ING's Suvi Platerink Kosonen says these two decisions make sense "from a purely economic perspective." The 4.500% bond has a "clearly lower" reset rate at 388 basis points compared with the 8.659% bond at 595 basis points, she says in a note. On that basis, Raiffeisen's AT1 bond with a 6.00% coupon rate is likely to be called on its June 2026 call date. The bond has a "rather elevated" reset level of 645 basis points, making a call more likely than an extension, she says. (miriam.mukuru@wsj.com)

(END) Dow Jones Newswires

April 22, 2025 09:57 ET (13:57 GMT)

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