Deutsche KreditBank plans to issue green bonds totaling €500 million

By Marisa Wong

Morgantown, W.Va., May 26 – Deutsche KreditBank (DKB) announced it will issue its first green bond. These medium-term green bonds will be the first senior unsecured green bonds from a German bank and are expected to total €500 million, according to a press release.

The company is on a roadshow this week in Germany and other select countries in Europe.

The company said that the green bond pool will be used exclusively to finance solar and wind projects in Germany.

Stefan Unterlandstaettner, chief executive officer of DKB, said in the release that this issuance follows logically from the company’s business model. DKB’s portfolio includes over €9 billion of project financing for the renewable energy sector. Its credit portfolio includes additional sustainable financing with a volume of around €30 billion.

“This is unique in Germany,” Unterlandstaettner said.

The CEO added that there is strong interest in the bonds.

Ahead of the upcoming issuance, Moody’s Investor Service has assigned an independent bank rating for DKB. Moody’s assigned a provisional issuer rating for unsecured debt – the planned green bonds – of A3.

The commercial bank is based in Berlin.

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