Deutsche Bank announces potential market stabilization for LHMC Finco 2 notes

Published 02/05/2025, 10:56
Deutsche Bank announces potential market stabilization for LHMC Finco 2 notes

FRANKFURT - Deutsche Bank AG (ETR:DBKGn) has notified the market of a potential stabilization action for LHMC Finco 2 S.à r.l.’s newly offered securities, which may occur to support market prices post-issuance. This announcement, made on May 2, 2025, follows the bank’s role as the Stabilisation Manager for the EUR 550 million Senior Secured PIK Toggle Notes due 2030.

The bank has indicated that stabilization activities, if initiated, are expected to start today and could continue until May 29, 2025. These measures are in accordance with EU market regulations governing buy-back programs and stabilization efforts. The specific securities involved are the EUR 550 million Senior Secured PIK Toggle Notes with Regulation S and Rule 144A ISINs respectively. The issue and reoffer prices, along with the spread over the benchmark, remain to be determined.

Stabilization, if undertaken by Deutsche Bank, aims to sustain the market price of the securities above levels that might naturally occur. The bank may also engage in over-allotment of the securities, not exceeding 5% of the aggregate nominal amount. All potential transactions will be executed over-the-counter (OTC).

Deutsche Bank’s announcement clarifies that the stabilization measures are not guaranteed and may be halted at any time. Stabilization actions are subject to strict regulatory compliance, and the bank is prepared to adhere to all applicable laws and rules during the process.

The securities offer is targeted at investors outside the United Kingdom (TADAWUL:4280) and certain qualified UK investors with professional investment experience or those who are categorized as high net worth individuals. It is not an invitation or offer to the general public in the UK. Additionally, the securities have not been registered under the United States Securities Act of 1933 and are not intended for public offering in the United States, adhering to the regulatory requirements for such financial instruments.

This pre-stabilisation notice serves as an informational statement based on a press release and does not constitute a sales offer or a solicitation for investment in any jurisdiction where such an offer would be unlawful.

This article was generated with the support of AI and reviewed by an editor. For more information see our T&C.

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