The World Bank and a syndicate of German Banks headed by the Deutsche Bank AG, as manager, and the Dresdner Bank AG, as co-manager, signed today an agreement covering a new issue of World Bank Deutsche Mark Bonds. The principal amount of the issue is DM 250 million. The interest rate of the Bonds is 7-3/4% per annum, payable annually on October 1. The Bonds will be offered publicly at par. The Bonds will be repaid at par on October 1, 1983 and will be non-callable.
The Bonds will be listed on all German Stock Exchanges. Including this issue, the World Bank has offered publicly Deutsche Mark obligations aggregating about 4.3 billion since 1959.
In addition, the World Bank announced today that it has signed an agreement with the Deutsche Bank AG and the Dresdner Bank AG for a private placement of Deutsche Mark Notes in the principal amount of DM 150 million. The interest rate on the Notes is 7-3/4% per annum, payable annually on October 1. The Notes will be repaid at par on October 1, 1982 and will be non-callable.
The proceeds of these two issues will be used in the general operations of the World Bank.