Enquired: BayernLB 500mn EUR Public Pfandbrief 2029

We are very pleased with the result. There hasn’t been a transaction on the covered bond primary market with a lower risk premium in about three years. I also find it remarkable that central banks and public institutions accounted for an exceptionally high 37% of the transaction. Even beyond this investor group, the book stood out for its high quality, so the bond has performed well on the secondary market right from the start.

The two transactions differed in many respects: the type of cover assets, the maturity and volume of the respective Pfandbrief as well as the prevailing geopolitical sentiment at the time of issuance. However, the marketing process was similar, and both issues were placed on the market with minimal new-issue premiums. As an issuer, it’s important these days to remain flexible. That’s why we opted for intraday marketing in both cases, so as not to be caught off guard by new headlines between the announcement and execution. That worked out well.

I’d like to keep a little suspense here, so I’ll just say this much: We’ve already raised a large portion of the funding planned for 2026. But that doesn’t automatically mean investors shouldn’t expect any further issuances from BayernLB.