Adjourned meetings have been scheduled in respect of a proposed Libor-to-SOFR switch for Lloyds dollar benchmarks, while Portuguese issuers are making progress towards Brexit-related changes to their bondholder representatives.

Lloyds Bank on 9 November launched a consent solicitation in respect of its $750m (£570m, €632m) 3.375% November 2021 (ISIN XS1907146671) and $1bn 5.125% July 2022 covered bonds, seeking bondholder approval to change the basis for the potential extension period of the soft bullets from US dollar Libor to SOFR.

Adjourned meetings have now been scheduled for 18 December after participation in initial votes last Friday (4 December) fell short of the 75% quorum level, with 66.29% participation in the 2021 issue and 55.63% in the 2022, even though all votes were in favour of the switch. The participation levels were both above the one-third level required in adjourned meetings.

Three Portuguese banks have been working towards switching from having BNP Paribas Trust Corporation UK Limited (BNP) as common representative of the bondholders for their covered bonds to Spanish company Bondholders SL.

Under Portuguese obrigações hipotecárias (OH) legislation the common representative must be an entity authorised to perform investor representation services in an EU member state, and BNP will no longer be qualified as such following the end of the transition period of the UK’s withdrawal from the EU on 31 December.

Bondholders voting in respect of Novo Banco OHs unanimously approved the changeover on 30 November, while Santander Totta will be making the switch after 99.5% of votes cast this Monday were in favour (with 0.5% abstentions).

Banco BPI will be holding a vote in respect of its OHs on 28 December, with any adjourned meeting then scheduled for 29 January – after the end of the Brexit transition period, although only one bondholder needs to vote for the initial meeting to be quorate.

Caixa Geral de Depósitos (CGD) held meetings on 3 December to give bondholders – of two covered bonds, but also other CGD securities – the opportunity to object to the merging into CGD of Caixa Leasing e Factoring – Sociedade Financeira de Crédito and Partang SGPS – em Liquidação.

Holders of CGD’s €1bn 1% January 2022 OH (PTCGH1OE0014) approved the merger, while no holders of its €250m June 2022 FRN (PTCGFD1E0019) participated. Since holders of all securities either approved the mergers or no bondholders participated and objected, CGD is clear to proceed with the merger, it announced.