Hogan Lovells advises banks on the placement of EUR 2.5 billion debt capital of Volkswagen Leasing GmbH

Volkswagen Leasing GmbH issued three benchmark bonds on January 12, 2021, contributing to a strong issuance volume on the European bond market at the beginning of 2021.

The first bond maturing on July 12, 2023 has an issue volume of one billion euros and bears interest at 0.000%. The second bond has an issue volume of 750 million euros and matures on January 12, 2026 (interest rate 0.250%). The third bond matures on January 12, 2029 and also has an issue volume of 750 million euros (interest rate 0.500%).

The bonds had a so-called retail denomination of 1.000 euros. They were admitted to trading on the regulated market of the Luxembourg Stock Exchange and were publicly offered in Luxembourg, Austria, Germany and Ireland as well as in the United Kingdom. Despite Brexit and the cessation of the European notification procedure on December 31, 2020, this was made possible by an English law transitional provision. According to this provision, EU prospectuses notified before December 31, 2020 may continue to be used for offerings in the United Kingdom until the validity of the prospectus expires. The Final Terms have therefore been submitted to the Luxembourg supervisory authority CSSF as the authority of the home EU Member State as well as to the UK supervisory authority FCA.

Jochen Seitz and his team have been advising on the debt issuance programs of Volkswagen Financial Services Aktiengesellschaft/Volkswagen Leasing GmbH and Volkswagen Bank GmbH as Dealer Counsel for a number of years.

Hogan Lovells for the banks

Dr. Jochen Seitz (Partner), Dr. Stefan Schrewe, Frank Salzgeber (Associates) (Capital Markets, Frankfurt);

James Doyle (Partner, Capital Markets, London)