Board Approves Early Redemption of 2016 Series 1 Perpetual Subordinated Bonds
Original: 富邦金控代子公司富邦人壽公告董事會決議通過擬報經 保險局同意後，提前贖回105年度第一期無到期日累積次順位 公司債
Summary
Fubon Financial Holdings, acting on behalf of subsidiary Fubon Life Insurance, announced that the board of directors has resolved to early-redeem the ROC Year 105 (2016) Series 1 Perpetual Cumulative Subordinated Corporate Bonds, contingent on prior approval from the Financial Supervisory Commission's Insurance Bureau. For investors, early redemption of perpetual subordinated debt — instruments that typically qualify as regulatory capital for life insurers — signals improved capital adequacy and reduces the company's ongoing hybrid financing costs, but also shrinks the capital buffer until replacement instruments are issued. Full body available on MOPS.
Full Translation
Fubon Financial Holdings Co., Ltd., acting as disclosing agent on behalf of its subsidiary Fubon Life Insurance Co., Ltd., hereby announces that the board of directors has resolved to approve the early redemption of the ROC Year 105 (calendar year 2016) First Tranche Perpetual Cumulative Subordinated Corporate Bonds (無到期日累積次順位公司債), subject to obtaining prior consent from the Insurance Bureau of the Financial Supervisory Commission. 'Perpetual Cumulative Subordinated' denotes bonds with no fixed maturity date whose unpaid coupon obligations accumulate; they rank junior to senior creditors in a wind-down. Regulatory pre-approval is required under Taiwanese insurance capital rules before a life insurer may exercise an early call on instruments that count toward solvency capital. [Body not available — subject line only. See MOPS for full announcement.]