Singapore: Ground-breaking issuance of €500,000,000 covered bond

Linklaters was pleased to advise United Overseas Bank Limited on the inaugural issue of its 500,000,000 covered bond due in 2021.

“This significant covered bond issuance is yet another demonstration of Linklaters’ expertise in innovative and multi-jurisdictional deals”, said Kevin Wong, Partner, Linklaters Singapore.

Mr Wong said the covered bond was issued under the US $8,000,000,000 Global Covered Bond Programme of United Overseas Bank Limited.

“This was the first Euro-denominated covered bond issued without a listing on a European Union stock exchange,” Mr Wong said. 

The covered bond was listed on the Singapore Stock Exchange, which is the main listing venue for Singapore issuers.

Mr Wong said the transaction is symbolic of the heightened role that Singapore is playing as a financial services centre.

“We see significant potential for more work of this nature in the region. We have already advised the other Singaporean banks that have issued a covered bond to date,” Mr Wong said.

In 2015, Linklaters also advised DBS Bank Ltd. on the establishment of its covered bond programme and debut issuance of its US$1,000,000,000 covered bond due in 2018.

“This innovative transaction underscores our strong market offering for clients seeking advanced solutions to complex and multi-jurisdictional deals,” Mr Wong added.

The deal was facilitated by Linklaters market-leading capital markets team including partners Kevin Wong and Andrew Vickery, managing associates Maree Quinn and Alexander Shopov and associates Daniel Yeo and Jonathan Zipfinger, working jointly between Linklaters’ London and Singapore offices.