Corporate / M&A

Capital Markets

Financial Market Regulation

LuKB

Homburger News

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On May 26, 2023, Luzerner Kantonalbank AG (SIX: LUKN) announced that it had successfully closed its rights offering, raising gross proceeds of CHF 489 m. As part of the transaction, existing shareholders of Luzerner Kantonalbank were offered rights to subscribe for new shares at an offer price of CHF 69.00 per new share. New shares in respect of which subscription rights had not been exercised were placed in a rump placement. Zürcher Kantonalbank acted as global coordinator and joint-lead manager.
With the net proceeds from the offering, Luzerner Kantonalbank primarily intends to lay the foundation for the successful further development of its business model, to achieve sustainable growth and at the same time secure long-term flexibility in the context of increasing capital requirements.
Homburger AG acted as transaction counsel to Luzerner Kantonalbank and Zürcher Kantonalbank. The Homburger team included Andreas Müller (Corporate / M&amp;A, Capital Markets), Benjamin Leisinger (Financial Market Regulation, Capital Markets), Lorenzo Togni, Jasmin Künzle and Florian Gasche (all Corporate / M&amp;A, Capital Markets) and Sofiya Shavlak (Financial Market Regulation, Capital Markets). Stefan Oesterhelt provided tax advice.

Homburger advised on the rights offering of Luzerner Kantonalbank AG raising gross proceeds of CHF 489 m

Raiffeisen

On May 3, 2023, Raiffeisen Schweiz Genossenschaft, a Swiss systemically relevant bank, successfully completed its issuance of EUR 500 m of 4.840 per cent. debt instruments for loss absorbency in the event of insolvency measures (bail-in bonds) due 2028 under its issuance program. The instruments have been provisionally admitted to trading and will be listed on the SIX Swiss Exchange. These bail-in bonds have been recognized by FINMA as eligible for recognition to meet the requirements as loss-absorbing funds and, therefore, are exempted from Swiss withholding tax.
Homburger advised Raiffeisen Schweiz Genossenschaft with respect to all aspects of Swiss law. The Homburger team was led by Benjamin Leisinger and included Sofiya Shavlak (both Capital Markets) as well as Stefan Oesterhelt (Tax).

Homburger advised Raiffeisen Schweiz Genossenschaft on the Issuance of its EUR 500 m 4.840 per cent. Bail-in Bonds due 2028

Zurcher Kantonalbank_bw

Homburger and ZKB

On April 5, 2023, Zürcher Kantonalbank priced its inaugural CHF 425 m Bail-in Bond issuance. ZKB&#8217;s Bail-in Bonds are novel instruments which have been designed and issued on the basis of a new legal framework allowing Cantonal Banks to issue Total-Loss-Absorbing-Capacity (TLAC) Bonds. In the event that FINMA orders the partial or complete reduction of the bondholders&#8217; claims under the Bail-in Bonds the bondholders are entitled to receive a Recovery Certificate. Such Recovery Certificate includes claims, subject to multiple conditions precedent, for subsequent future compensation payments for the full or partial reduction of the bondholders&#8217; claims under the Bail-in Bonds.
Homburger advised ZKB in co-operation with the legal department of ZKB since 2017 on the legislative process leading the new basis for Cantonal Banks to issue TLAC Bonds, structured and documented the new Bail-in Bonds and advised on all regulatory, legal and tax aspects. The team was led by René Bösch (Capital Markets and Financial Market Regulation) and included Dieter Grünblatt (Tax), Benjamin Leisinger (Capital Markets and Financial Market Regulation), Alexander Wherlock (Financial Market Regulation), Sofiya Shavlak and Irene Strocka-Metzler (both Capital Markets).

Homburger advises Zürcher Kantonalbank on the issuance of its inaugural CHF 425 m Bail-in Bonds

Sofiya
Shavlak

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Homburger advised on the rights offering of Luzerner Kantonalbank AG raising gross proceeds of CHF 489 m

Homburger advised Raiffeisen Schweiz Genossenschaft on the Issuance of its EUR 500 m 4.840 per cent. Bail-in Bonds due 2028

Homburger advises Zürcher Kantonalbank on the issuance of its inaugural CHF 425 m Bail-in Bonds

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Sofiya Shavlak

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SofiyaShavlak

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Homburger advised on the rights offering of Luzerner Kantonalbank AG raising gross proceeds of CHF 489 m

Homburger advised Raiffeisen Schweiz Genossenschaft on the Issuance of its EUR 500 m 4.840 per cent. Bail-in Bonds due 2028

Homburger advises Zürcher Kantonalbank on the issuance of its inaugural CHF 425 m Bail-in Bonds

Join the Team

Sofiya Shavlak

Career

Languages

Bar Registration

Teams

Sofiya
Shavlak