Credit Suisse issued $6.2 billion in contingent convertible bonds to shareholders in Qatar and Saudi Arabia, The Wall Street Journal reports. Qatar Holding and Olayan Group will receive the notes after October 2013, in exchange for cash or tier one capital notes sold by the bank to the investors in 2008. The bonds will be issued with a future coupon lower than the tier one notes. A Swiss government-appointed committee had proposed in October 2010 that Credit Suisse should hold almost double the capital required under the Basel III rules and use contingent convertible bonds to satisfy part of the requirement, adds Bloomberg.
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