EU FINANCIALS: Monte dei Paschi €500m 6.25NC5.25 Green Sr Pref - Final Terms

• Bloomberg is reporting that Finnish party leaders have agreed to introduce the debt break from 2026.
• This has been debated for some time (see this story on the government website in June).
• Yle (Finnish national public service broadcasting company) reported a sources story on this 2 hours ago noting that "the proposed model would be to reduce it in the short-to-medium term to 60 percent, from the current level of just over 88 percent, and eventually to about 40 percent."
• The story notes that "parties will jointly decide at the beginning of each parliamentary term on the goals for reducing debt over the next four and eight years."
• The sources story also stated that "sources from the opposition Left Alliance told Yle that the party would not support the agreement — citing the "overly ambitious" debt-to-GDP ratio targets as one of the main reasons."
• At this point it is unclear exactly what the targets that have been agreed by the government are - and whether they match those cited in the Yte story.

• Reoffer:101.621 to yield 5.0969%
• Spread set earlier at 4.375% Jan-40 Gilt + 8.0bps (Guidance was +8/8.5bps)
• Size: GBP9bln (above the GBP4.0-8.5bln MNI expected - although we had noted the top half of that range was likely).
• Orderbooks closed in excess of GBP128bln (including JLM interest of GBP7bln)
• Hedge ratio: 110% vs 4.375% Jan-40 gilt. Spot ref 93.50 / 5.0169%, hedge at 93.501
• Maturity: 31 Jan 2041
• Settlement: 15 Oct 2025 (T+1)
• Coupon: 5.25% (short first)
• ISIN: GB00BVP99897
• JLMs: BofA / Barclays / DB / MS (B&D/DM) / RBC CM
• Timing: TOE 12:45BST. FTT immediately

Source: Market source and MNI colour

• Reoffer:101.621 to yield 5.0969%
• Spread set earlier at 4.375% Jan-40 Gilt + 8.0bps (Guidance was +8/8.5bps)
• Size: GBP9bln (above the GBP4.0-8.5bln MNI expected - although we had noted the top half of that range was likely).
• Orderbooks closed in excess of GBP128bln (including JLM interest of GBP7bln)
• Hedge ratio: 110% vs 4.375% Jan-40 gilt
• Maturity: 31 Jan 2041
• Settlement: 15 Oct 2025 (T+1)
• Coupon: 5.25% (short first)
• ISIN: GB00BVP99897
• JLMs: BofA / Barclays / DB / MS (B&D/DM) / RBC CM
• Timing: Hedge deadline 12:00BST

Source: Market source and MNI colour