REG-OneSavings Bank PLC: Interest Rate Reset - 6.591% Perpetual Subordinated Bonds <Origin Href="QuoteRef">OSBO.L</Origin>

OsbAnnouncement

22/01/2016 16:20

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 OneSavings Bank plc 
 
 ("OSB or the "Company") 
 
 Interest Rate resetting on the £22,000,000 6.591% Perpetual Subordinated
Bonds (the "Bonds") 
 
 Key points: 
 
 * In accordance with the terms of the Bonds the interest rate payable on the
Bonds is subject to a resetting process from time to time, with the next reset
becoming effective from and including 7 March 2016 
 * Following the procedure set out in the terms of the Bonds, the interest
rate has today been reset by OSB's appointed Agent Bank, Canaccord Genuity
Limited ("Canaccord"). 
 * The revised rate of interest which shall be payable from and including 7
March 2016 is 4.5991% 
 * This rate will remain the effective rate payable on the Bonds until the
next reset of interest rates is due to take effect, which will be on the fifth
anniversary of 7 March 2016 
 
 
 Interest Rate Reset 
 
 OSB, the UK bank formed out of the business of the former Kent Reliance
Building Society and which listed on the Main Market of the London Stock
Exchange in June 2014, has today announced the result of the interest
resetting process applicable to its £22,000,000 6.591% per cent Perpetual
Subordinated Bonds. 
 
 Under the terms of the Bonds, the interest rate applicable to the Bonds,
originally set at 6.591%, is due to be reset with effect from 7 March 2016 and
thereafter on each fifth anniversary of that date. 
 
 The procedure for resetting the interest rates is set out in the terms and
conditions of the Bonds and involves OSB's appointed Agent Bank fixing the
rate by reference to the gross yield to redemption applicable on a Benchmark
Gilt chosen by the Agent Bank.  Cannacord has been appointed as the Agent
Bank for these purposes and chose as the Benchmark Gilt the 1.5% UK Treasury
Gilt 01/2021. 
 
 Following the methodology set out in the terms and conditions of the Bonds,
the Agent Bank has determined the Gross Redemption Yield applicable on the
Benchmark Gilt to be 1.1991%.  The terms and conditions of the Bonds require
the interest rate on the Bonds to be set at the rate of 3.4% per annum plus
the gross redemption yield on the Benchmark Gilt.  Accordingly, it has
determined the new rate of interest as being 4.5991% per annum. This rate will
apply to the Bonds from and including 7 March 2016. 
 
 For further information please contact: 
 
 Zoe Bucknell, Group General Counsel and Company
Secretary                   t: 01634 835788 
 
 Alastair Pate, Group Head of Investor
Relations                                                
t: 01634 838973 
 
 About OneSavings Bank plc 
 
 OneSavings Bank plc ('OSB') began trading as a bank on 1 February 2011 when
the trade and assets of Kent Reliance Building Society ('KRBS') were
transferred into the business. OSB is a specialist lending and retail savings
group authorised by the Prudential Regulation Authority, part of the Bank of
England, and regulated by the Financial Conduct Authority and Prudential
Regulation Authority. 
 
 OSB focuses on selected sub-sectors of the lending market in which it has
established expertise, platforms and capabilities, and where opportunities
have been identified for both high returns on a risk-adjusted basis and strong
growth. These include Residential Mortgages (comprising first charge, second
charge and shared ownership), Buy-to-Let/SME and Personal Loans. OSB
originates organically through specialist brokers and independent financial
advisors. 
 
 OSB is predominantly funded by retail savings originated through the
established Kent Reliance franchise, which includes a network of branches in
the South East of England, as well as online and postal channels.
Diversification of funding is currently provided by a securitisation and OSB
joined the Funding for Lending Scheme in early 2014. 
 

 This announcement is distributed by NASDAQ OMX Corporate Solutions on behalf
of NASDAQ OMX Corporate Solutions clients. 
 The issuer of this announcement warrants that they are solely responsible for
the content, accuracy and originality of the information contained therein. 
 Source: ONE Savings Bank PLC via Globenewswire 
 HUG#1980776