mBank places €300 mln MBS against €800 mln demand

Mortgage bank mBank Hipotczny issued €300 million worth of mortgage-backed Securities, maturing in 7 years and with coupon of 1.073 percent. As many as 60 investors placed orders to buy a total of €800 million worth of mBank’s MBSs. The lender has been issuing MBSs regularly since 2000, until now through private placement and not exceeding €100 million in value. Altogether, Polish mortgage banks have PLN 19.6 billion in MBSs, which corresponds to 5 percent of all their mortgages. By comparison, the value is 37 percent for the Czech Republic, 16 percent for Germany, 21 percent for France and 58 percent for Sweden. mBank Hipoteczny is 100 percent owned by mBank, controlled by Commerzbank. It is the largest mortgage bank in Poland.