February 03, 2009 - Corporate law firm CHSH Cerha Hempel Spiegelfeld Hlawati advised the Telekom Austria Group over the issue of a bond with a benchmark volume, i.e. with a total volume in excess of EUR 500 million. The transaction was successfully closed on 29. January 2009.
The 7 year bond will yield interest at a rate of 6.375 % p.a. and is the first successful placement of a corporate bond this year; the bond amounts to the cumulative volume of all bonds issued in Vienna in 2008. With an order book of more than EUR 3.3 billion, EUR 750 million were placed primarily with German and Austrian investors, 65 % with pension funds, insurance companies and asset managers, 25 % with banks and 10 % with the retail public.
"Despite the large volume the difficult market situation required a retail denomination involving a public offer to private investors in Austria and Germany. Due to the time window at the start of January and due to the short processing timeframe, approval of the prospectus and initial listing were possible in Luxembourg", stated Partner Volker Glas of the CHSH Banking & Corporate Finance Team. Under his leadership his team, consisting of Christian Aichinger, Volker Enzi and Irene Eckart, prepared the terms and conditions of the loan and the prospectus pursuant to Austrian law and European standards. The bonds were cross-listed on the Vienna Stock Exchange.
CHSH Cerha Hempel Spiegelfeld Hlawati
CHSH Cerha Hempel Spiegelfeld Hlawati, with offices in Vienna, Belgrade*, Bratislava, Brussels, Budapest, Bucharest, Minsk, Sofia and Timisoara, is one of the largest and most well-known corporate law firms in Austria. For more than eight decades, CHSH has provided its clients with creative and commercially-oriented solutions, first class service and expertise in the areas of mergers & acquisitions, corporate and commercial law, banking and finance law, capital markets, international tax law, real estate and project development and litigation and arbitration. CHSH is a member of Lex Mundi – The World’s Leading Association of Independent Law Firms.
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