DGAP-News

Hypo Real Estate Holding AG: Sale of Hypo Real Estate Holding AG's participation in Deutsche Pfandbriefbank AG

DGAP-News: Hypo Real Estate Holding AG / Schlagwort(e): Verkauf
Hypo Real Estate Holding AG: Sale of Hypo Real Estate Holding AG's
participation in Deutsche Pfandbriefbank AG

17.02.2015 / 14:24

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Sale of Hypo Real Estate Holding AG's participation in Deutsche
Pfandbriefbank AG

Notice inviting expressions of interest

Hypo Real Estate Holding AG (HRE) holds directly 100% of the registered
share capital of Deutsche Pfandbriefbank AG ("pbb"). HRE intends to sell up
to 100% of the share capital in pbb in an open, transparent and
non-discriminatory bidding process, in accordance with the European
Commission's state aid decision (C 15/09 (ex N 196/09)) dated 18 July 2011,
published in the Official Journal of the European Union L 60/1 of 1 March
2012. Parallel to this sale process, HRE is preparing an initial public
offering of its participation as an alternative means of sale. HRE reserves
the right, without advance notice and without giving reasons, to change or
discontinue the sales process and/or the preparation of the initial public
offering at any time.

pbb is a specialist bank for commercial real estate and public investment
finance, based in Munich and incorporated under German law. pbb holds a
leading market position in Europe with a focus on selected core markets:
Germany, the United Kingdom, France, the Nordic region and individual
countries in Central and Eastern Europe. It operates from a range of
locations, including Munich and further German cities as well as London,
Paris, Madrid and Stockholm. Its main funding instrument is the German
covered bond "Pfandbrief". pbb is the largest Pfandbrief issuer by
outstanding volume and ranked among the top 5 covered bond issuers by
volume in Europe in 2013. Starting in 2010, after a phase of stabilisation,
de-risking (including a substantial transfer of non-strategic positions to
the winding up institution FMS Wertmanagement) and restructuring, pbb was
successfully repositioned and established in the lending and funding
markets. It has remained profitable since then and is well capitalised. pbb
operates a fully-fledged banking platform with banking and Pfandbrief
licenses.

As at 30 September 2014, pbb's strategic portfolios comprise a commercial
real estate portfolio of around EUR 23.9 billion and a public investment
finance portfolio of around EUR 9.1 billion (on an Exposure at Default