Vonovia successfully places promissory note loans totalling 1 billion euros

• Average weighted term of loans: 7.65 years
• High demand: Promissory note volume was doubled from €500 million to €1 billion
• Investors mainly include Sparkasse banks, regional banks and foreign commercial banks
• Philip Grosse, CFO: “Loans help to increase diversification while further strengthening the financing base”

Bochum, 16 February 2022 – Today, Vonovia SE successfully completed its promissory note transaction launched on 10 January this year. It means that, after numerous bilateral pilot projects on promissory notes, Vonovia has successfully placed a widely marketed transaction. The original volume was increased from €500 million to €1 billion. The weighted average term is 7.65 years, with a weighted average interest rate of 1.13%.

Over 85 investors have subscribed to the full range of tranches on offer, ranging from 5 to 30 years (both fixed and floating). Vonovia intends to also use the proceeds to fully repay the bridge financing that the housing company had taken out to finance the acquisition of Deutsche Wohnen.

“The promissory note loans help to increase diversification of our debt instruments and are therefore adding significant strength to our financing base. This broad foundation also gives us security for our future cash flow,” says Philip Grosse, CFO. “The high level of investor approval in a volatile market environment shows that we are in an outstanding position on the borrowed capital side.” This has been Grosse’s first major transaction in his role as CFO at Vonovia.

The promissory note loans primarily address Sparkasse banks, regional banks, foreign commercial banks and institutional investors interested in longterm illiquid products. Grosse also explains another benefit of the loans: “This form of transaction is extremely robust while carrying a highly attractive price tag in the current environment which is so volatile. The high demand encourages us to carry out further transactions of this kind from now on.”

Once the entire process has been completed, all the relevant issue details will be available on Vonovia’s Investor Relations website, in the Creditor Relations subsection. (https://investoren.vonovia.de/).


2022 Financial Calendar:

18 March 2022: Annual Report 2021
29 April 2022: Annual General Meeting – online
5 May 2022: Interim Statement for the First Three Months of 2022
3 August 2022: Interim Statement for the First Half of 2022
4 November 2022: Interim Statement for the First Nine Months of 2022