On June 3rd 2024 The Bulgarian-American Credit Bank (BACB) issued a new issue of ordinary, interest-bearing, book-entry, named, freely transferable, unsecured, non-convertible, subordinated Notes that are structured to qualify as Tier 2 Instruments pursuant to art. 63 of the Capital Requirements Regulation (EU) No 575/2013 of the European Parliament and of the Council of 26 June 2013 on prudential requirements for credit institutions and investment firms and amending Regulation (EU) No 648/2012 ("Regulation No 575/2013") in the amount of EUR 15,000,000, ISIN BG2100017248.

The initial sale of the notes was made under the terms and conditions of an offer for which the publication of a prospectus is not required, pursuant to art. 205 (2) of the Commercial Act (not under the conditions of public offering) to a limited number of persons: under 150 (one hundred and fifty) persons - a predetermined group of investors.

The notes issue has the following conditions and parameters:

• Type of notes – ordinary, interest-bearing, book-entry (registered in the central register of securities with Central Depository AD), registered, freely transferable, unsecured, non-convertible notes, structured to qualify as Tier 2 Instruments pursuant to art. 63 of Regulation No 575/2013;
• Amount – EUR 15,000,000
• Maturity – 120 (one hundred and twenty) months of the date of the issuing, i.e., maturity of the issue – June 3rd 2034;
• Interest Rate and Payment of the Interest – fixed interest rate of 8.00% (eight per cent) per annum, payable in annual coupon (interest) payments, calculated based on simple interest for the individual annual periods on the nominal/residual value of each Note, at an interest convention of actual number of days in the period over actual number of days in the year (Actual/Actual (ICMA Rule 251);
• Repayment of Principal – the repayment of the principal amount of the issue shall be made in installment in EUR on the maturity date of the notes issue – June 3rd 2034;
• Unsecured nature of the notes issue - The notes are unsecured, accordingly the claims of the bondholders for principal and/or interest are not secured, are not subject to a guarantee or other agreement which increases the rank of the claims. The notes are not guaranteed by the Bank Deposit Insurance Fund under the Bank Deposit Insurance Act /https://www.dif.bg/bg/;
• Status and Special Provisions on the notes - The notes are subordinated and structured to qualify as Tier 2 Instruments of BACB, pursuant to Regulation No 575/2013;
• Issuance – initial private offering pursuant to art. 205 (2) of the Commercial Act;
• Secondary offering - BACB will take all necessary actions to register the notes issue for trading on the Official Market (Amtlicher Handel) of the Vienna Stock Exchange, a regulated market pursuant to Directive 2014/65/EU, as amended (Markets in Financial Instruments Directive II – "MiFID II");