HSH Nordbank successfully places Tier I bonds
Hamburg/Kiel, June 6, 2005 - On June 3, 2005, HSH Nordbank successfully placed the Tier I bond SPHERE Securities (Silent Participation Hybrid Equity Regulatory Securities). The bond issue, the size of which originally amounted to USD 250 million, was increased to USD 500 million while its coupon was reduced substantially due to the strong demand. The bond comes with a coupon of 7.25 %. Marketing started with a yield indication of 7.5 %. The Tier I bonds were presented during HSH Nordbank’s six-day roadshow in Germany, Luxembourg and Switzerland, Hong Kong and Singapore. HSH Nordbank itself acted as Sole Structuring Advisor to the SPHERE Securities transaction. The lead managers of the transaction were ABN Amro, Deutsche Bank, UBS and HSH Nordbank.
Continuing the path of improving its capital structure HSH Nordbank intends to replace existing EUR-denominated silent participations with USD-denominated silent participations to optimize the capital with regard to the Bank’s USD-denominated Risk Weighted Assets. Furthermore, the transaction aims to broaden HSH Nordbank’s investor base and to consolidate it on a sustained basis. "This transaction has demonstrated that the market is convinced by the business model of HSH Nordbank," stated Franz S. Waas, Ph.D., Management Board Member responsible for HSH Nordbank's capital-market operations.
Interest payments are dependent on the bank’s earnings situation. SPHERE Securities are a so-called perpetuals with an infinite term. HSH Nordbank has many years’ experience in handling Tier I capital transactions. One of its predecessors, Landesbank Schleswig-Holstein (LB Kiel), successfully placed Tier I bond transactions under the name of Sparc, Resparc and Resparc II on the international capital market since 2002.
HSH Nordbank AG is a strong regional bank in Northern Europe. It has total assets of € 173 billion and employs roughly 4,500 staff around the world. It is the market leader in its core region of Hamburg and Schleswig-Holstein. As a global provider of specialist finance, its main focus is on transportation and real estate. In fact, HSH Nordbank is the world’s leading provider of ship finance and covers the entire value chain in the transportation segment. In the area of real estate, HSH Nordbank is one of the strongest banks in Germany, acting as a provider of services relating to all aspects of real estate. It is an acknowledged partner of the capital markets.
The information contained in this press release does not constitute an offer for the sale of any type of HSH Nordbank AG securities. Securities of HSH Nordbank AG may not be sold in the United States without registration pursuant to US securities legislation, unless such a sale takes place on the basis of relevant exceptional provisions.
This press information can contain forward-looking statements. These statements are based on our beliefs and assumptions, on information currently available to us which we consider reliable. Forward-looking statements include all statements which are not historical facts, including information concerning future growth prospects and future economic developments.
Such forward-looking statements are based on assumptions relating to future events and are subject to uncertainties, risks and other factors, a large number we cannot influence. Thus actual events can differ considerably from the forward-looking statements made. We make no warranty for the correctness or completeness of these statements or the actual occurrence of the statements made. Furthermore, we assume no obligation for updating the forward-looking statements after this information has been published.
behind many documents. Click on this symbol to put the marked document into the download basket. Added documents will be marked with 
. 