German lender Deutsche Hypothekenbank has successfully placed a EUR 1 bn public sector Pfandbrief.

The Pfandbrief has a three-year term and a coupon of 2.62%. German investors signed up for 78% of the Pfandbrief issue, followed by Asian investors with 10% and French and Italian parties, each with 4%.

Jürgen Allerkamp, chairman of Deutsche Hypo, said the bank 'in the future will continue to bring benchmark emissions to the market, also when they are slightly more expensive than private placements, that make up 80% of the group's funding'. 'We see benchmark transactions as strategic measures with which we can enrich investors who are focused on high-volume emissions,' he said.