Talanx finances Barcelona metro

EUR 125 million participation in loans for Metro Line 9 Tranche 4
15 commercial lenders refinance the "green project"
The longest, fully automated underground line in Europe

The Talanx Group is expanding its sustainable infrastructure investments with a EUR 125 million participation in the refinancing of the concessionaire of Barcelona´s subway Line 9 Tranche 4. Talanx has now invested approx. EUR 3.7 billion in infrastructure projects, including wind and solar plants, fibre optic projects for high-speed Internet, hospitals and other infrastructure related real estate transactions. In the longer term, the Group has set itself the goal of investing EUR 5 billion in this sector.

The initial financing of Linia Nou Tram Quatre S.A. (“L9T4”) comprised the construction and maintenance of 13 stations on the metro system in the Catalan capital. It was completed in 2014 and has since had a stable history of operations. Once Tranche 3 is complete, Line 9 will be the longest fully automated metro line in Europe. The concession is in place until 2040 and for this refinancing, L9T4 has taken out loans totalling over EUR 720 million.

The Talanx Group investors have participated with a EUR 125 million ticket in the refinancing as the largest commercial lender in a group of 15 banks and institutional investors. In addition, the European Investment Bank, as a non-commercial investor, has novated its existing exposure to L9T4 as part of the transaction. The EIB has provided substantial support, including via L9T4, for the construction and operation of the metro line, which is classified as a "green project" for its technology.

The 18-year fixed rate debt in which Talanx has participated is particularly attractive for the Group insurance and pension monies because it purports to promise stable returns through readily predictable cash flows.

L9T4 is owned by funds managed by Brookfield, Queenspoint, Iridium, Dalmore Capital and Equitix.

Disclaimer

This news release contains forward-looking statements which are based on certain assumptions, expectations and opinions of the Talanx AG management. These statements are, therefore, subject to certain known or unknown risks and uncertainties. A variety of factors, many of which are beyond Talanx AG’s control, affect Talanx AG’s business activities, business strategy, results, performance and achievements. Should one or more of these factors or risks or uncertainties materialise, actual results, performance or achievements of Talanx AG may vary materially from those expressed or implied in the relevant forward-looking statement. Talanx AG does not guarantee that the assumptions underlying such forward-looking statements are free from errors nor does Talanx AG accept any responsibility for the actual occurrence of the forecasted developments. Talanx AG neither intends, nor assumes any obligation, to update or revise these forward-looking statements in light of developments which differ from those anticipated.