Washington, DC, September 24, 2007 – The World Bank today announced its partnership with DekaBank to offer one-year World Bank bonds exclusively to clients of the German Savings Banks Finance Group ("Sparkassen-Finanzgruppe").
DekaBank, the central asset manager of the Sparkassen-Finanzgruppe, is the sole lead manager of this Euro 250 million retail offering.
Starting tomorrow, Sparkassen-Finanzgruppe will begin sales of EUR denominated one-year World Bank notes to investors, who will be able to purchase the notes at over 16,000 Sparkassen branches across Germany. The subscription period ends on November 2, 2007. Information materials providing examples of the role of the World Bank and its work with its member countries in the social, health, environmental and other sectors will be made available to over 50 million clients of the Sparkassen-Finanzgruppe.
The notes pay an annual coupon of 3.85%. This offering is part of the World Bank's efforts to provide regionally focused investment products that combine financial and social returns that seek to appeal to investors with ethical investment strategies. The issue allows retail investors in Germany to contribute to the World Bank’s sustainable development mandate through a portion of their investment portfolio.
"This is a unique one-year offering for the German market. The funds that the World Bank raises on the capital markets are used to finance a variety of development projects such as in the areas of environment, education, governance, and infrastructure, for the purpose of increasing economic growth to reduce poverty. With this offering, clients of the Sparkassen-Finanzgruppe will not only do well with their safe investment, but can also be certain that their funds are being invested for a good purpose." said Eckhard Deutscher, German Executive Director, World Bank.
"We are very pleased to partner with the World Bank for this sustainable investment opportunity. Clients of the Sparkassen in Germany will have the chance to make a difference in the lives of millions of people in emerging and developing countries by helping the World Bank achieve important development goals," said Franz S. Waas, Ph.D., Chairman of the Board of DekaBank. "At the same time, investors are getting a safe investment and an attractive return."
Issuer: International Bank for Reconstruction and Development (IBRD)
Rating: AAA/Aaa
Settlement date: November 7, 2007
Maturity Date: November 7, 2008
Issue price: 100%
Redemption: 100%
Coupon: 3.85%, payable at maturity
Denomination: EUR 1,000 and integral multiples thereof
Clearing system: Clearstream Frankfurt
Sole Lead Manager: DekaBank
“Socially responsible investing” (SRI) or “ethical investing” describes an investing approach that is becoming increasingly popular, especially among retail investors. It integrates social and environmental concerns into investment decisions.
For more information on the World Bank and the World Bank Treasury, please visit http://www.worldbank.org and http://treasury.worldbank.org.
This press release is not an offer for sale of Notes of the International Bank for Reconstruction and Development ("IBRD"), also known in the capital markets as “World Bank”. Any offering of the Notes will be made only by means of a prospectus containing detailed information that will be made available through DekaBank, the sole underwriter of the notes, or the Sparkassen-Finanzgruppe, and is subject to restrictions under the laws of several countries. Securities may not be offered or sold except in compliance with all such laws. The World Bank makes no representation, warranty or assurance of any kind, express or implied, as to the accuracy or completeness of the Information provided by DekaBank or the Sparkassen-Finanzgruppe.
