After Loanboox brokered the first fully digital green bond, the Swiss bond market is facing a turning point. Issuers and intermediaries agree that the digitalisation of the traditional business will continue to increase. But what does the way ahead look like? At Loanboox, they are confident. Further issues are already being planned.
Finanz und Wirtschaft writes about this:
For the first time, a company – the electricity supplier Axpo – issued a listed green bond completely digitally via the Loanboox platform. Around forty investors were able to enter several orders for ninety minutes, i.e. which volume they would take at which interest rate. They could follow live how the book was formed. The “black box” became transparent. In the end, the issuer Axpo decided which volume it wanted to accept at which price defined by the live book formation. It was CHF 133 million at 147 basis points (bp) over midswap for seven years.
It goes on to say:
Loanboox is not deterred: “The next issues are already planned,” says Mühlemann. Public borrowers and large companies are interested, he says. And thanks to the licence recently obtained from the German financial supervisory authority, the platform will also introduce the digital bond business in the EU. Mühlemann doesn’t want to know anything about competition: “Loanboox has been very open to cooperation with issuing houses since the beginning.