Stocks Market
BCP Issues 1 Billion‑Dirham Perpetual Subordinated Bond with Loss‑Absorption Feature
On December 31, 2025, Banque Centrale Populaire (BCP) completed a private‑placement issue of a 1 billion‑dirham perpetual subordinated bond equipped with a loss‑absorption mechanism. The 10,000 securities, each carrying a nominal value of 100,000 MAD, bear an annually‑resetting interest rate of 4.31 % for the first year – the benchmark rate of 2.31 % plus a 200‑basis‑point risk premium. The bonds are traded over‑the‑counter, outside the stock exchange, and will start accruing interest from the issuance date. This move underscores BCP’s strategy to strengthen its capital base while offering investors a long‑term, risk‑adjusted return.
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BCP launches a 1 billion‑dirham perpetual subordinated bond
On 31 December 2025, Banque Centrale Populaire (BCP) completed a private‑placement issuance of a perpetual subordinated bond equipped with a loss‑absorption mechanism, totaling 1 billion MAD.
The deal consists of 10,000 individual bonds, each carrying a nominal value of 100,000 MAD. The interest rate is reset annually and is linked to the 52‑week full‑rate published by Bank Al‑Maghrib on 19 December 2025 (2.31 %). An additional risk premium of 200 basis points brings the effective rate for the first year to 4.31 %.
These securities are traded over‑the‑counter (OTC), i.e., they are not listed on any exchange, provided that all regulatory requirements are satisfied. The accrual date is 31 December 2025.
The issuance reinforces BCP’s capital structure while offering investors a long‑term instrument that can absorb potential losses, a feature increasingly common among major banks seeking to meet higher regulatory standards.
Key take‑aways:
- Issuer: Banque Centrale Populaire (CSEMA:BCP)
- Issue size: 1 billion MAD
- Number of bonds: 10,000
- Nominal value per bond: 100,000 MAD
- First‑year interest rate: 4.31 % (2.31 % benchmark + 200 bps risk premium)
- Placement: Private, OTC
- Loss‑absorption mechanism: Yes
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