WestLB Issues First Benchmark Bond
WestLB today issued a senior unsecured bond in the benchmark range. The three-year issue, which has a volume of € 750 million, was placed widely with some 150 institutional and private investors. The price was fixed at the lower end of the guidance at mid swaps + 130 basis points. The members of the consortium included Commerzbank Deutsche Bank, DZ Bank, LBBW and WestLB.
With this transaction WestLB is taking advantage of the favourable market conditions. Commenting on the importance of the issue, Klemens Breuer, Managing Board member with responsibility for the Capital Markets business, said: “This is the first senior unsecured issue by the Bank in the benchmark format since the abolition of the state guarantees in July 2005.“ With an unsecured issuing volume of over € 13.5 billion, WestLB has now already exceeded its funding target for 2009. With this benchmark issue WestLB is further diversifying its investor base. The high percentage of granular international orders, in particular, contributes to the good quality of the transaction. “This demonstrates the confidence shown by investors in WestLB“, Breuer added.