(Berlin, March 10, 2014) Deutsche Bahn successfully issued an € benchmark bond today via its financing subsidiary, Deutsche Bahn Finance B.V., Amsterdam/the Netherlands. The 15-year bond bears a coupon of 2.75 percent and has a total volume of € 500 million. The issuing price was 98.69 percent resulting in a yield of 2.86 percent. The proceeds of the new issue will be used by Deutsche Bahn to increase its financial flexibility.
The demand for the bond was higher than the volume offered. The bond was 2.9- times oversubscribed.
The new bond found the interest of institutional investors from Europe, particularly from Germany and France. Additionally a notable share of the transaction found the interest of institutional investors from Asia. The bond will be listed on the Luxemburg Stock Exchange. With a denomination of € 1,000 also retail investors can directly purchase the securities.
The issuing consortium was co-headed by Citigroup, Deutsche Bank, HSBC and Société Générale.