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Eni successfully launches two euro-denominated hybrid bonds.
Insight Out
21 Jan 2025

Eni successfully launches two euro-denominated hybrid bonds.

Eni S.p.A. ("Eni") has successfully issued two new perpetual hybrid subordinated bonds with a combined nominal value of €1.5 billion (the "New Hybrid Bonds"). These bonds, targeted at institutional investors, were placed on the Eurobond market and attracted approximately €5 billion in orders, primarily from the United Kingdom, Germany, France, and Italy.


The main features of the New Hybrid Bonds are as follows:

  1. The first is a perpetual subordinated hybrid bond valued at €900 million, with a re-offer price of 99.354% and an annual coupon of 4.500% until the first reset date, which is scheduled for 6.25 years after issuance (April 21, 2031). If early redemption does not occur, the annual coupon will be recalculated starting from April 21, 2031, and every five years thereafter, based on the prevailing 5-year Euro Mid Swap rate plus an initial margin of 208.3 basis points. This margin will increase by an additional 25 basis points starting April 21, 2036, and by a further 75 basis points from April 21, 2051.
  2. The second is a perpetual subordinated hybrid bond valued at €600 million, with a re-offer price of 99.114% and an annual coupon of 4.875% until the first reset date, scheduled for 9.25 years after issuance (April 21, 2034). If early redemption does not occur, the annual coupon will be recalculated starting from April 21, 2034, and every five years thereafter, based on the prevailing 5-year Euro Mid Swap rate plus an initial margin of 239.9 basis points. This margin will increase by an additional 25 basis points starting April 21, 2039, and by a further 75 basis points from April 21, 2054.

The New Hybrid Bonds are governed by English law and will be listed for trading on the Luxembourg Stock Exchange. The settlement date is scheduled for January 21, 2025.


In connection with the simultaneous tender offer for the €1.5 billion perpetual hybrid bond with a first call date in October 2025 and an annual coupon of 2.625% (ISIN: XS2242929532) (the "Tender Offer"), which was announced alongside the launch of the New Hybrid Bonds, the maximum acceptance amount is set at €1.5 billion, corresponding to the total nominal value of the new issuance.


The acceptance of any bonds validly tendered by qualified holders will be at Eni’s sole discretion, and the company reserves the right to decline any validly submitted offers under the Tender Offer.


The Tender Offer period will close on January 21, 2025, with the results to be announced thereafter. Eni will settle the full amount in cash.

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