Successful bond issue: Vonovia places corporate bonds totalling € 5 billion with an average coupon of 0.49 %
- 5 bonds with an average maturity of 10.3 years
- First bond with a maturity of 30 years
- High investor demand of almost € 20 billion ensures attractive conditions
- Proceeds primarily earmarked to refinance bridge financing for the planned business combination with Deutsche Wohnen SE
- Issue follows bonds placements of € 4 billion in June 2021
Bochum, 27 August 2021 – Yesterday, Vonovia SE successfully issued five unsecured and fixed-interest bonds with a total volume of € 5 billion. Attracting demand of just under € 20 billion, the bonds were 4 times oversubscribed. Based on this high investor demand, the company was able to secure very attractive conditions. For the first time, Vonovia placed a bond with a maturity of 30 years.
- € 500m / 2 years / coupon 0.0 %
- € 1,250m / 4.25 years / coupon 0.0 %
- € 1,250m / 7 years / coupon 0.25 %
- € 1,250m / 11 years / coupon 0.75 %
- € 750m / 30 years / coupon 1.625 %
The proceeds are primarily earmarked to refinance the bridge financing for the planned business combination with Deutsche Wohnen SE as well as for upcoming repayments. The issue follows the successful placement of corporate bonds with a volume of € 4 billion in June 2021.
“All in all, we have made our very healthy financing base even more flexible with these new bonds. The fact that we have managed to raise € 9 billion of new funds in the space of three months is testament to our standing in the capital market,” says Chief Financial Officer Helene von Roeder. “In light of the intended combination with Deutsche Wohnen, we now feel even stronger on the debt capital side. The high level of investor demand shows that the planned business combination is seen as strategically compelling. Now the crucial step is for the Deutsche Wohnen shareholders to also accept our offer,” von Roeder adds.
Once the entire process has been completed, all relevant information about the issue will be available on Vonovia’s investor relations website, in the Creditor Relations subsection. This is also where investors can find information about the European Medium Term Notes Programme (EMTN).
2021 financial calendar:
4 November 2021: interim report for the first nine months of 2021