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Deutsche Börse successfully places EUR 600 million hybrid bond at an attractive yield of 1.25 per cent

Release date: 08 Jun 2020 | Deutsche Börse

Deutsche Börse successfully places EUR 600 million hybrid bond at an attractive yield of 1.25 per cent

Deutsche Börse AG has today successfully placed a corporate hybrid bond in an amount of EUR 600 million. The bond has a term of 27 years with a first call date after 7 years and a coupon of 1.25 per cent annually to the first call date.

Deutsche Börse hereby early refinances its outstanding EUR 600 million hybrid bond ahead of its upcoming first call date. With the refinancing, the company achieves significant interest savings, as the new 1.25 per cent instrument replaces the old bond with a coupon of 2.75 per cent.

Supported by Deutsche Börse’s strong credit profile, the offer has attracted very high investor demand and was 7 times oversubscribed.

The hybrid bond is considered as 50 per cent equity by the rating agency S&P and therefore supports Deutsche Börse’s credit rating and contributes to its financing capacity.

The new hybrid bond will be listed on the Regulated Market of the Frankfurt Stock Exchange as well as on the Luxembourg Stock Exchange. 

In addition to the new issue, and to further optimize its cost base, Deutsche Börse also announced a tender offer to repurchase early the outstanding EUR 600 million hybrid bond.