Law.com: Inside Germany’s Most Profitable Law Firm, M&A Powerhouse Hengeler Mueller
26 September 2025
Allianz SE has completed the issuance of a Restricted Tier 1 (RT1) bond on 26 August 2025. The US dollar 1.25 billion bond is perpetual, is first callable at the option of Allianz SE on October 30, 2033, and pays an annual coupon of 6.55% p.a. until the first coupon reset date on April 30, 2034, subject to certain conditions.
The bond is deeply subordinated and senior only to equity. In line with Solvency II requirements for RT1 capital, the bond features a loss absorbency mechanism in the form of a write-down of the nominal amount in case a solvency related trigger is breached. Coupon payments and redemptions are at the full discretion of Allianz SE unless they are mandatorily prohibited. The bond was placed with institutional investors and is listed on the Luxembourg Stock Exchange (Euro MTF).
Concurrently with the new issuance, Allianz SE bought back an aggregate principal amount of 923.0 million US dollars of its 1.25 billion US dollar 3.5% RT1 bond issued in 2020 via a tender offer. 327.0 million US dollars remain outstanding. This bond is perpetual and is first callable at the option of the issuer in November 2025.
Hengeler Mueller advised Allianz on the issuance and the tender offer as to German and EU laws.
Hengeler Mueller team for Allianz SE
Capital Markets: Alexander Rang (partner, lead), Pascal Brandt (senior associate), Konrad Schäfer (associate, all Frankfurt),
Regulatory: Carl-Philipp Eberlein (partner), Matthias Mayer (associate, both Düsseldorf),
Tax: Matthias Scheifele (partner), Tim Würstlin (senior associate, both Munich), Samuel Goldman (associate, Frankfurt).
