DLA Piper advises UBM on placement of first green hybrid bond

Global law firm DLA Piper has advised UBM Development AG on the successful issuance of its first deeply subordinated green hybrid bond with a volume of EUR 65 million. This issuance follows the placement of a senior bond worth EUR93 million issued in November 2024, a transaction that DLA Piper also advised on. As part of this transaction, 43.6 percent of the existing 2021 hybrid bond has been repurchased and exchanged for this new bond, increasing total bond value to EUR121 million. This green hybrid bond will be listed on the Vienna Stock Exchange and the funds will be used to finance UBM's new and existing projects across core markets including Austria, Czechia, and Poland.

UBM Development is one of Europe´s leading developers of timber construction projects and is listed on the Prime Market of the Vienna Stock Exchange. This first green hybrid bond as part of the green finance framework represents another milestone in the reorientation of UBM’s financing to green. smart. and more.

A team from DLA Piper's Corporate practice based in the Vienna office worked on the transaction led by partner Dr. Christian Temmel, MBA and counsel Dr. Christian Knauder-Sima.

Dr. Christian Temmel, MBA, partner, commented: "This first green hybrid bond issuance represents a significant milestone for our client, reinforcing their commitment to sustainable practices. The successful placement of this bond demonstrates industry leadership and strengthens their position to innovate sustainably, align with global climate goals, and meet the growing demand for eco-conscious products."

Raiffeisen Bank International AG served as the sole structuring adviser, bookrunner and paying agent for the transaction as well as dealer manager for the buyback offer. The banking side was advised by Wolf Theiss (Dr. Claus Schneider, LL.M. and Mag. Sebastian Prakljacic).