KfW to issue Deutsche Post exchangeable bond of at least 500 mln eur in Japan
German state development bank Kreditanstalt fuer Wiederaufbau (KfW) said it is to issue in Japan a 5-year Uridashi bond exchangeable into shares of Deutsche Post AG, worth at least 500 mln eur.
The exact size of the bond depends on demand, but is expected to raise at least 500 mln eur, equivalent to 2.3 pct of Deutsche Post’s share capital or 25.4 mln shares, the KfW said in a statement.
It is the first foreign currency exchangeable bond ever to be offered by a non-Japanese issuer in Japan.
The bond will pay an annual coupon of 0.5 pct, and the exchange premium range has been determined at 11-17 pct. The closing of the transaction is scheduled for the beginning of Feb 2005.
An application will be made to list the bonds on the Luxembourg Stock Exchange, the KfW added.
Nomura International PLC is acting as bookrunner and lead manager of the transaction.
