Nama redeems a further €3bn in senior bonds

The National Asset Management Agency (Nama) said today that it has redeemed €3bn in senior bonds.

The bonds were issued as consideration for the original loans acquired from the five participating institutions – AIB, Bank of Ireland, Anglo Irish Bank, Irish Nationwide Building Society and EBS.

Nama said this redemption – its third to date – means that it has redeemed a total of €10.5 billion in senior bonds so far.

Nama paid €31.8bn to the participating institutions when it acquired their loans in 2010 and 2011. Ninety-five percent of that amount (€30.2bn) was in the form of senior bonds guaranteed by the Minister for Finance and the remaining 5pc (€1.6bn) was in the form of subordinated debt.