Citi and Vasakronan Issue First Fully Digital Bond on Origin
June 28, 2019
Citi helps Vasakronan issue an AUD 30mm Green Bond in the first bond to be fully digitally issued via the Origin platform
London – Vasakronan, with the assistance of Citi, has successfully raised AUD 30mm via the first digitally issued medium term note. Using the Origin platform, Citi and Vasakronan were able to fully automate documentation and communication flows. Citi acted as dealer and as issuing and paying agent.
Vasakronan’s funding team used the platform to share its funding targets to its dealers, including Citi. Once Citi’s MTN desk found an interested investor, Citi’s MTN and legal teams were able to automatically generate the termsheet and the final terms using the Origin technology. After the documents were finalised, they were digitally shared with the Issuing and Paying agent.
Amaury Gossé, global head of MTNs at Citi, said: “This transaction is an important milestone in the continued evolution of capital markets. Using technology to automate execution processes will improve operational efficiencies and deliver a better experience for our clients.”
Marcus Austin, head of product development at Citi Issuer Services added, “This is a groundbreaking transaction. A fully automated work flow, documentation and settlement process represent the future for our industry in terms of costs and efficiency.”
Johan Fredriksson, Portfolio Manager for Vasakronan, said: “This was a very exiting transaction for Vasakronan, we strive to be at the forefront of digitalisation and this trade was a step on that path. This was Vasakronan’s first ever AUD bond and a chance for us to further expand our investor base, and would like to thank Origin and Citi for the possibility to open another Green bond market.”
Origin is a capital markets technology company connecting frequent borrowers and dealers in the international debt markets. Origin helps dealers and their teams, grow their client base, collaborate more efficiently, and automate the processes involved with fixed income issuance. Issuers use Origin to connect to more dealers, diversify their funding sources, and optimising their funding costs. Launched in January 2017, the platform is used by over 20 dealers and 78 issuers in over 50 cities worldwide. Learn more at: https://originmarkets.com
Citi, the leading global bank, has approximately 200 million customer accounts and does business in more than 160 countries and jurisdictions. Citi provides consumers, corporations, governments and institutions with a broad range of financial products and services, including consumer banking and credit, corporate and investment banking, securities brokerage, transaction services, and wealth management. Additional information may be found at www.citigroup.com | Twitter: @Citi | YouTube: www.youtube.com/citi | Blog: http://blog.citigroup.com | Facebook: www.facebook.com/citi | LinkedIn: www.linkedin.com/company/citi.
Vasakronan is Sweden’s largest property company with a portfolio comprising 174 properties with a total area of 2.4 million sq. m. We own, manage and develop centrally located office and retail properties in Stockholm, Gothenburg, Malmö and Uppsala. The majority of the portfolio is located in Stockholm. Learn more at: https://vasakronan.se