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First bond under kangaroo program issued

Deutsche Bahn issued first bond under the newly established kangaroo program with a volume of AUD 600 million

(Berlin, September 21, 2017) Deutsche Bahn successfully issued today the first AUD bond under the newly established AUD debt issuance program (kangaroo program) via its financing subsidiary, Deutsche Bahn Finance GmbH, Berlin, with a total volume of AUD 600 million (EUR 402 million). Deutsche Bahn is the first German industrial company that issued a bond under a kangaroo program with a financial subsidiary which is headquartered in Germany. It is also the first bond issuance after the identity preserving change of registered office and legal form of Deutsche Bahn Finance.

The bond has two tranches.

The first tranche (volume: AUD 425 million, maturity: seven years) bears a coupon of 3.500 percent. The issuing price was 99.748 percent resulting in a yield of 3.541 percent.

The second tranche (volume: AUD 175 million, maturity: ten years) bears a coupon of 3.800 percent. The issuing price was 99.621 percent resulting in a yield of 3.846 percent.

The bond proceeds were swapped into Euros. The proceeds of the new issue will be used by Deutsche Bahn to increase its financial flexibility. The bond was placed to institutional investors particularly from the Australia and Japan.

The issuing consortium was jointly led by Daiwa Securities and HSBC.

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