Deals & Cases

08/15/2019

On August 13, 2019, UBS Group AG (the Issuer) successfully completed its issuance of USD 1.5 bn principal amount of bail-inable (TLAC) notes (the Notes) under its Senior Debt Programme. The Notes will be listed on the SIX Swiss Exchange.


The Notes are the first issuance of bail-inable (TLAC) notes under the Senior Debt Programme by UBS Group AG as Issuer. The Notes were also placed in the United States with QIBs in reliance on Rule 144A.


As with bail-inable (TLAC) notes previously issued by other UBS entities, the Notes are designed to allow FINMA to exercise its statutory resolution powers to write-down the Notes and|or convert them into equity of UBS Group AG should restructuring proceedings be opened with respect to UBS Group AG.


Structural subordination enables FINMA to fully or partially convert or write-down the Notes prior to the operating liabilities of the bank UBS AG.


Homburger advised UBS in the structuring of the transaction and on all regulatory and transactional aspects as to Swiss law of the offer, the issuance of the Notes and the listing on the SIX Swiss Exchange.


The Homburger team included partners Stefan Kramer (Banking and Finance | Capital Markets) and Stefan Oesterhelt (Tax), as well as associates Andreas Josuran and Andrea Ziswiler (both Banking and Finance | Capital Markets).