The amount will be repaid on November 30, 2009
AEGON has informed the Dutch State and Vereniging AEGON that it has decided to repay one third of the E3b in core capital which the company secured last year through its shareholder, Vereniging AEGON and funded by the Dutch State.
AEGON first announced its intention to repay the Dutch State in August when it raised E1b in a successful equity issue.
The amount will be repaid on November 30, 2009 including accrued interest from May 22, 2009 in accordance with the terms of AEGON’s agreement with the Dutch State. The Dutch Central Bank has given its consent for the repayment.
Alex Wynaendts, CEO of AEGON, said: It continues to be our intention to fully repay the Dutch State at the earliest opportunity – and this is a first step toward doing so. AEGON’s strong excess capital position and the improved economic outlook support our decision to fully exercise the option of early repayment.
As per the terms of AEGON’s agreement with the Dutch State, the premium for repayment amounts to a maximum of 13% depending on the volume weighted average share price of AEGON shares on the five trading days from November 23 until November 27.