HSH Nordbank arranges two important Syndication Transactions in Greece
With an overall volume of USD 554 million US-Dollar, based on two Syndication Transactions, HSH Nordbank strengthens its position in the Greek shipping market. Both deals have been arranged and closed this year.
HSH Nordbank Real Estate Risk Trend: Slight Increase in Investment Risks for Office Real Estate Worldwide
The investment risks on the world’s office real estate markets have perked up across the board, with few exceptions. The sustained global trend of declining risk rates that started in the summer of 2006 has thus been checked. This is the finding of the latest Real Estate Risk Trend report published by HSH Nordbank. While the pace of the risk increase remains moderate, the development already reflects the impact of the financial crisis as well as the expectation that the economy will slow down. The most notable risk increases are reported from submarkets in New York and London. Paris and Düsseldorf, by contrast, are the only cities to report a decline in investment risks.
HSH Nordbank files claim against UBS
HSH Nordbank confirms that it has filed its claim against UBS in respect of significant losses incurred on a US$500 million portfolio of CDOs linked to the US mortgage market which were structured and sold by UBS. The investments were sold by UBS in 2002 to Landesbank Schleswig-Holstein which subsequently merged with Hamburgische Landesbank to become HSH Nordbank AG.
HSH Nordbank finances Luxury Trains in China
HSH Nordbank AG closed a project financing of 30 million USD for RailPartners. The maturity of the facility is 8.5 years. Total project volume is 140 million USD, with 45 million to be financed by the shareholders of RailPartners and 95 million to be financed by the project financing. The shareholders of RailPartners include Shanghai based TZG Holdings Limited, an experienced company focused on China’s leisure sector, Wing On Travel, Hong Kong’s largest travel agency, and PYI Corporation, a Hong Kong based company focused on the infrastructure and logistics sector.
HSH Nordbank to pursue legal proceedings against UBS
HSH Nordbank announces that it has decided to start legal proceedings against UBS to recover significant losses incurred on a US$ 500 million portfolio of CDOs (collateralised debt obligations) linked to the US mortgage market which were structured and sold by UBS. The investments were sold by UBS in 2002 to Landesbank Schleswig-Holstein which subsequently merged with Hamburgische Landesbank to become HSH Nordbank AG. HSH Nordbank has only taken this action after careful consideration and on legal advice. It expects to file its claim against UBS in the State of New York by the end of February.
Contract for extensions to Moscow airport signed
In record time of only four months, HSH Nordbank AG and Sberbank of Russia have successfully completed negotiations for a contract with the operator of the Sheremetyevo International Airport concerning the financing for the construction of Terminal 2 at the airport. As a result, a credit facility of USD 222 million is now available with immediate effect. In September, the two banks were selected as joint mandated lead arrangers to commence exclusive negotiations with the airport operator, prevailing in a tender process in which over 20 Russian and international banks had participated.
Change in the domestic Shipping Division - Frank Bünte will follow Markus Lange
Markus Lange (44), currently Deputy Head of Shipping and Head of the business area Domestic Clients in the Shipping Division at HSH Nordbank will leave HSH Nordbank Group at his own request in the middle of March. He then will join the board of management of a Hamburg based shipping company.
HSH Nordbank to open a Representative Office in Mumbai
HSH Nordbank AG received approval from the Reserve Bank of India, the Indian banking regulatory authority, for establishing a Representative office in Mumbai.
HSH Nordbank to finance Evans Randall’s EUR 240 million office investment in Brussels
HSH Nordbank AG will finance purchase of the “Covent Garden” office complex in Brussels by London-based Randall Investment Management Ltd. The finance volume amounts to about EUR 240 million.
HSH Nordbank places world’s first jumbo ship Pfandbrief with an Aaa rating
World’s first jumbo ship Pfandbrief, which HSH Nordbank offered for subscription today, met with overwhelming demand. HSH Nordbank closed the book, by then three times oversubscribed with more than three billion euros, after less than two hours at about 10.15 a.m. The ship Pfandbrief, which HSH Nordbank launched as joint lead together with Deutsche Bank and HSBC, is not only world’s first jumbo ship Pfandbrief, but also the first jumbo placement of the financial year that has just begun. The issue’s volume is one billion euros with a coupon of 4.25 percent (mid-swaps flat) and a two-year term. Back in September rating agency Moody’s already gave the related ship-cover pool amounting to about EUR 2.5 billion the highest possible rating of Aaa.
HSH Nordbank sector study: airfreight market continues on a growth course
The airfreight market will continue to be one of the global growth sectors over the next few years. According to a recent study by HSH Nordbank AG, medium to long-term forecasts by market participants expect further growth in the airfreight sector. The greatest impact on the airfreight market comes from the trends within the global economy and global trade. In this context, HSH Nordbank is projecting long-term global trade growth of seven percent p.a.
Three JTF awards for HSH Nordbank
HSH Nordbank has received multiple awards from international specialist periodical Jane’s Transport Finance (JTF). At this year’s Gala Awards Dinner in London’s Merchant Taylors’ Hall, HSH Nordbank’s Transportation Finance team received as many as three of the sought-after awards for its work this year. The Bank was awarded the “Aircraft Debt Deal of the Year – Asia”, the “Shipping Debt Deal of the Year – North America” and the “Rail Finance Innovator 2007”.
HSH Nordbank: good earnings posted by the Real Estate division
HSH Nordbank’s Real Estate division improved its operating earnings after risk provisioning by 5.5 per cent to EUR 193 million (previous year: EUR 182.5 million) in the first nine months of 2007. This positive result was also attributable to lower risk provisioning, which went down significantly on the previous year, from EUR 67 million to EUR 43.6 million. Net interest income rose by just under 4 per cent to EUR 267 million (previous year: EUR 258 million). Commission income dropped from the previous year's high level of EUR 111 million to just under EUR 100 million. Return on equity decreased slightly from 18.8 to 18.6 per cent compared to the same period of last year.
Global Transportation posting further gains
HSH Nordbank significantly increased operating profit after risk provisioning in its core Shipping and Transportation segments after the first nine months of 2007. Totaling EUR 362 million, earnings were up more than 43 percent on last year’s figure of EUR 254 million. The entire segment under the Global Transportation Markets umbrella benefited from the sustained upward momentum in the international shipping and transportation business. The segment’s ROE rose to 22.3 percent, equivalent to a year-on-year increase of 3.3 percentage points.
Corporates expanding its business
The Corporates segment has posted very good earnings for the first nine months. Adjusted for last year’s higher income from the sale of equity holdings, operating profit went up substantially. Net commission income grew at an exceptionally strong pace, with interest income putting on a good performance as well. At EUR 352 million, earnings on September 30, 2007 were at the pre-year level on an unadjusted basis