BBVA acts as sole bookrunner in the €500 million green bond of Volkswagen International Finance N.V.

Volkswagen International Finance N.V. has successfully issued a 10-year €500 million green bond, drawing strong investor demand in the reopening of the Euro corporate market after the summer break. Given the green "Use of Proceeds" format and the scarce appearances of Volkswagen in the longer-dated end of its bond curve, the offering found strong demand that led to an order book oversubscription of more than 5 times at the final stage. BBVA acted as sole bookrunner in this transaction, an unprecedented milestone for the institution in the German corporate public debt market.

BBVA acted as sole bookrunner in the issuance of a 10-year €500 million green bond by Volkswagen International Finance N.V. The funds raised will be allocated to financing or refinancing, in part or in full, Eligible Green Capital Expenditures from the Eligible Green Portfolio, in line with Volkswagen AG’s Green Finance Framework (October 2022). The distinctive feature of the transaction lies in BBVA’s exclusive role as sole bookrunner which highlights the bank’s ability to lead operations of particular relevance and complexity.

The transaction attracted strong demand, with orders exceeding €3 billion compared to the €500 million finally issued, resulting in an oversubscription of more than five times (at final pricing level). This outcome underscores the interest of international investors, in sustainable financing products, and consolidates BBVA’s role as a financial partner in the industrial transformation of its clients. The deal was supported by a high-quality investor base, with a significant presence of leading international asset managers and broad geographical diversification led by the United Kingdom and the DACH region.

“Our participation in this transaction reflects the trust that a client such as Volkswagen places in BBVA and highlights our ability to connect issuers with a broad and diversified investor base. This outcome demonstrates the added value we bring to the European capital markets and our commitment to supporting companies in their transformation processes,” said Marco Dillmann, DCM Sector Lead Industrial & Transportation Europe at BBVA CIB.

BBVA´s credit value chain combines deep knowledge of the sector with proven structuring and distribution capabilities. This allows the bank to support companies in their growth and in the evolution of their business models, offering financial solutions tailored to their strategic objectives.