Volkswagen?s Proposed Hybrid Securities Rated 'BBB-' And Assigned Intermediate Equity Content

Germany-headquartered global carmaker Volkswagen AG (VW) intends to issue subordinated hybrid securities through its Dutch financing subsidiary Volkswagen International Finance N.V. VW intends to use the proceeds to refinance its €1.5 billion hybrid securities, which has a first call date in December 2022. We assess the proposed notes as having intermediate equity content. We are assigning our 'BBB-' issue rating to the proposed notes, reflecting their subordination and optional interest deferability. FRANKFURT March 21, 2022--S&P Global Ratings said today that it has assigned its 'BBB-' long-term issue rating to the proposed 5.75- and nine-year non-call, perpetual, optionally deferrable, and subordinated hybrid notes to be issued by Volkswagen International Finance N.V. The proposed notes will be guaranteed by the parent company,

...March 21, 2022 - Germany-headquartered global carmaker Volkswagen AG (VW) intends to issue subordinated hybrid securities through its Dutch financing subsidiary Volkswagen International Finance N.V. - VW intends to use the proceeds to refinance its 1.5 billion hybrid securities, which has a first call date in December 2022. - We assess the proposed notes as having intermediate equity content. - We are assigning our '###-' issue rating to the proposed notes, reflecting their subordination and optional interest deferability. FRANKFURT March 21, 2022--S&P Global Ratings said today that it has assigned its '###-' long-term issue rating to the proposed 5.75- and nine-year non-call, perpetual, optionally deferrable, and subordinated hybrid notes to be issued by Volkswagen International Finance N.V. The proposed notes will be guaranteed by the parent company, Germany-based automaker Volkswagen AG (VW; ###+/Stable/A-2) on a subordinated basis. The completion and size of the transaction will be...

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