Bayerische Landesbank (Bayern LB) has placed a €300 million ($320 million) promissory note loan (Schuldschein) for Munich-based MTU Aero Engines.
The bank acted as joint lead arranger with Landesbank Baden-Wurttemberg (LBBW).
The promissory note is divided into two tranches: €161 million with a tenor of three years and €139 million with a tenor of five years.
The offering attracted 50 investors, mainly savings banks as well as national and international private banks.
High demand from investors led to a €100 million increase in the offering from €200 million originally. The proceeds will be used for general corporate financing.
MTU’s financing achieved a two-and-a-half-fold oversubscription.