Poland's PKO BP approves issue of 1.6 bln zlotys in 10-year bonds

WARSAW (Thomson Financial) - Poland's largest bank PKO BP said today it has approved an issue of 1.6 bln zlotys in 10-year bonds, as it seeks funds to finance booming demand for domestic loans.

The lender said in September it will issue bonds in either zlotys or euros and will have the right to buy back the bonds after five years.

The bank said the bonds were priced at the Warsaw interbank offered six-month (WIBOR) rate plus 100 basis points, rising to 125 basis points if the bank did not use its call option to buy back the debt after five years.

Source: By Piotr Skolimowski, www.forbes.com