Wolf Theiss advises Erste Group Bank AG on its inaugural issue of sustainability notes in benchmark size

Erste Group Bank AG successfully closed the first issue of Sustainability Notes in the amount of EUR 500 million. The notes have a maturity of seven years and were placed with professional clients and eligible counterparties with a coupon of 0.125 per cent. per annum. The denomination is EUR 100,000 per note. The notes are listed on the Official Market (Amtlicher Handel) of the Vienna Stock Exchange (Wiener Börse). The closing took place on 17 May 2021.

The issue proceeds will be used by Erste Group Bank AG to finance eligible green and social projects pursuant to the Sustainability Finance Framework of Erste Group.

The notes were placed by, inter alia, Crédit Agricole CIB, Deutsche Bank Aktiengesellschaft, Erste Group Bank AG, ING Bank N.V. and Landesbank Baden-Württemberg as joint lead managers. The banking consortium was advised by Partner Walter Gapp and Attorney-at-Law Philipp Mark (CMS Reich-Rohrwig Hainz Rechtsanwälte GmbH).

Erste Group Bank AG was advised by Partner Claus Schneider, Senior Associate Nikolaus Dinhof and Associate Sebastian Prakljacic (all Debt Capital Markets) and on tax law aspects by Counsel Eva Stadler (Tax).

Claus Schneider on the transaction: “We are very pleased to have been involved in the inaugural transaction of Sustainability Notes issued by Erste Group Bank AG, thank them for the trust they have placed in us and congratulate the Erste Group team on this very successful trade.”