FRANKFURT - Commerzbank (ETR:CBKG) Aktiengesellschaft has initiated a stabilization mechanism for its newly issued EUR 500 million fixed to floating rate notes, set to mature on December 8, 2028. The Frankfurt-based financial institution announced today that as part of its Market Abuse Regulation strategy, it may undertake measures to stabilize the securities' market price post-launch.
The notes, which are callable on December 8, 2027, have been launched under Commerzbank's Medium Term Note Programme established on June 5, 2024. The bank has disclosed that the stabilization period commenced today and will extend no longer than 30 days following the proposed issue date of the securities.
During this time, Commerzbank AG (OTC:CRZBY), acting as the Stabilization Coordinator, along with other Stabilizing Managers, has the option to over-allot or execute transactions to support the market price of the notes above levels that might otherwise prevail. However, the bank also indicated that stabilization is not guaranteed and may end at any time. Any stabilization actions or over-allotment will be carried out in compliance with all relevant laws and regulations.
The securities will be listed on the Frankfurt Stock Exchange, and the offer price is to be confirmed. The notes, identified by the ISIN DE000CZ45Y63, are denominated in increments of EUR 100,000.
It is important to note that this announcement is for informational purposes only and is not an offer to underwrite or acquire securities in any jurisdiction. Additionally, the announcement and the securities mentioned are not being distributed in the United States or to any U.S. persons, nor in any jurisdiction where such distribution would be considered unlawful.
This stabilization plan is based on a press release statement and aims to provide a safety net for the market price of the newly issued notes, ensuring a more stable trading environment during the initial period following their release.
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