CEB issues inaugural GBP 300mn 3-year SONIA Floating Rate Note Benchmark

PARIS - On 22 September, the Council of Europe Development Bank (CEB) successfully priced an inaugural GBP 300 million 3-year SONIA Floating Rate Note Benchmark.

Highlights

• The new issue represents CEB’s first SONIA FRN transaction and second GBP issuance in 2026, following a successful GBP 750 million 3-year Social Inclusion Fixed Rate Benchmark priced on 5 January.
• It also follows CEB’s inaugural SOFR FRN transaction in February 2026, where CEB printed a USD 500 million 4-year Benchmark and went on to tap the line for USD 250 million in September.
• The transaction priced at a Discount Margin of SONIA+25bps, 1bp tighter than Guidance, reflecting strong investor demand for both the product and CEB’s credit.
• To date, the CEB has issued over EUR 6.7 billion of its planned EUR 7 billion 2026 funding programme.

Deal details:

• At 09:29 CET on Tuesday 22nd September, amidst a stable market backdrop, the CEB announced its inaugural GBP 300m (“WNG”) 3-year SONIA FRN transaction, with Guidance of SONIA DM+26bps area.
• Following just under two hours of constructive bookbuilding, the transaction was launched with a final spread of SONIA DM+25bps, supported by a high-quality orderbook of over GBP 500 million (excl. JLM interest).
• Post-launch, the transaction garnered further demand, with the orderbook closing above GBP 550 million (excl. JLM interest).
• The transaction priced at 12:36 CET, with a re-offer price of 100.00% and a Discount Margin of SONIA +25bps.
• UK and Ireland accounts took the lion’s share of allocated demand as expected (81%), with 19% going to other regions.
• Bank Treasuries were the largest component (98%), complemented by some fund manager participation (2%).

For full technical details of the transaction, please click here.