Austrian law firm Weber & Co. acted as legal counsel to OMV AG, the international integrated oil and gas company headquartered in Vienna, in connection with the issue of multi-tranche corporate bonds in an aggregate volume of EUR 1.5 bn (in two tranches). The transaction succeeds the EUR 1.75 bn multi-tranche corporate bond in April 2020 and again relates to the financing of the acquisition of an additional 39% stake in Borealis AG.

22 June 2020

OMV is producing and marketing oil & gas, innovative energy and high-end petrochemical solutions. With Group sales of EUR 23.5 bn in 2019 and a workforce of almost 20,000 employees as of end 2019, OMV Aktiengesellschaft is one of Austria’s largest listed industrial companies.

The transaction in an aggregate volume of EUR 1.5 bn comprises two tranches being issued as of 16 June 2020. Both tranches provide for a volume of EUR 750 mn each, one with a three-year term (2023, coupon 0.000%) and the other one with a ten-year term (2030, coupon 0.750%). The bonds are governed by German law and were issued on the basis of OMV's EUR 12 bn debt issue programme (EMTN). They were admitted to trading on the Official Market of the Vienna Stock Exchange and the regulated market of the Luxembourg Stock Exchange. Net proceeds are in particular to be used for the financing of the acquisition of an additional 39% stake in Borealis AG.

Citigroup Global Markets Europe AG, Commerzbank Aktiengesellschaft, Erste Group Bank AG, Landesbank Baden-Württemberg, Mizuho Securities Europe GmbH and Raiffeisen Bank International AG acted as Joint Lead Managers under the bond issue. They were advised by White & Case LLP (Frankfurt am Main) led by Partner Karsten Wöckener.

The transaction is the second successful multi-tranche corporate bonds issue by OMV AG within a few months. Already in April 2020, OMV AG had issued corporate bonds in three tranches of in aggregate EUR 1.75 bn, the highest-volume multi-tranche corporate bonds issue of all time by an Austrian issuer in relation to a listing on the Vienna Stock Exchange. Weber & Co. had advised the issuer also on this transaction.

Christoph Moser, partner of Weber & Co., who headed the team advising OMV: "We are very pleased that OMV again relied on our expertise. The second successful multi-tranche bond issue in benchmark sizes in turbulent times of the Covid-19 crisis proves the attractiveness of OMV AG among investors. We congratulate the issuer and the joint lead managers."

Transaction team Weber & Co.: Christoph Moser (partner, lead), Angelika Fischer (associate).