Volkswagen Financial Services issues bonds worth 2.6 billion euros
„We are very satisfied with this high-volume issuance. The positive development of our contract portfolio is supported by our good refinancing base. This year alone, Volkswagen Financial Services has already refinanced almost ten billion euros with corporate bonds on the euro capital market and increased its contract portfolio worldwide by more than seven percent in the first half of the year”, says Frank Fiedler, CFO of Volkswagen Financial Services AG.
Corporate bonds make an elementary contribution to the funding volume of Volkswagen Financial Services. At the end of June 2018, bonds amounting to EUR 34.6 billion (at the end of 2017: EUR 32.7 billion) accounted for around 18 percent of the refinancing for the Volkswagen Financial Services division. Other significant constituents of the funding mix were Asset Backed Securities with a figure of EUR 37.3 billion (around 19 percent) and customer deposits with EUR 33.6 billion (also around 17 percent).
The bonds were marketed by a banking consortium comprising Bank of America Merrill Lynch, Barclays, Santander, Société Générale and UniCredit.
The bonds at a glance:
|Bond 1||Bond 2||Bond 3|
|Issuer||Volkswagen Financial Services AG|
|Volume||1.0 billion euro||850 million euro||750 million euro|
|Denominations||1,000 Euro||1,000 Euro||1,000 Euro|
|Term||2.0 Jahre||5.0 Jahre||8.0 Jahre|
|Coupon||0.25 %||1.375 %||2.25 %|
Information for editors:
Volkswagen Financial Services are a business division of the Volkswagen AG group of companies and comprise Volkswagen Financial Services AG along with its associated companies, Volkswagen Bank GmbH, Porsche Financial Services, and the financial services companies in the USA, Canada, and Spain that belong directly or indirectly to Volkswagen AG – with the exception of the financial services of the Scania brand and Porsche Holding Salzburg. The key business fields embrace dealer and customer financing, leasing, the bank and insurance business, fleet management and mobility offers. Volkswagen Financial Services have a total of 15,770 employees worldwide – including 6,670 alone in Germany. Volkswagen Financial Services report total assets of around EUR 186.9 billion, an operating result of EUR 2.5 billion euros and a portfolio of around 19.7 million current contracts (as at: 31.12.2017).
Contact for press inquiries:
Marc Siedler (Press Officer)
Phone: + 49 (0)531 / 212-87675