Wolf Theiss advises Oberösterreichische Landesbank Aktiengesellschaft on its issue of EUR 250,000,000 0.01% green mortgage covered bonds

Oberösterreichische Landesbank Aktiengesellschaft (the “HYPO Oberösterreich”) successfully closed the issue of green mortgage covered bonds in the aggregate principal amount of EUR 250 million. The bonds have a tenor of seven years and were placed with professional clients and eligible counterparties with a coupon of 0.01 per cent. per annum. The denomination is EUR 100,000 per bond and the yield -0.132 per cent. per annum. The bonds are listed on the Official Market (Amtlicher Handel) of the Vienna Stock Exchange (Wiener Börse). The closing took place on 15 September 2021.

The issuer intends to use the proceeds of the issue exclusively to finance or refinance loans, which are used to finance projects relating to energy-efficient residential buildings in accordance with the Green Finance Framework of HYPO Oberösterreich dated June 2021. The projects in connection with “energy-efficient residential buildings” include, on the one hand, the construction of new residential buildings with private home subsidies in the province of Upper Austria (Oberösterreich), subsidized residential construction and private residential construction and, on the other hand, the renovation in relation to a comprehensive thermal renovation of residential buildings in Austria.

The bonds were placed by Erste Group Bank AG, Landesbank Baden-Württemberg, Landesbank Hessen-Thüringen Girozentrale und UniCredit as joint lead managers. The banking consortium was advised by Christoph Moser and Angelika Fischer (Schönherr Rechtsanwälte GmbH).

HYPO Oberösterreich was advised by Partner Alexander Haas, Senior Associate Nikolaus Dinhof-Renezeder and Associate Sebastian Prakljacic (all Debt Capital Markets) and on tax aspects by Counsel Eva Stadler (Tax).

Alex Haas on the transaction: “We are very pleased to have been involved in the first sub benchmark green covered bonds issue of HYPO Oberösterreich and congratulate the HYPO team on this successful trade.”