...August 29, 2023 FRANKFURT Aug. 29, 2023--S&P Global Ratings today said that it has assigned its '###-' long-term issue rating to the proposed two tranches of five-year non-call 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 subject to market conditions, but we anticipate total issuance of up to 2 billion. VW plans to use the proceeds to replace its outstanding 1.25 billion hybrid instrument, which has a first call date in June 2024; and we will regard the 1.25 billion hybrid as having no equity content upon completion of the new transaction, compared with intermediate previously. We currently expect that VW intends to use issuance proceeds in excess of 1.25 billion to replenish its stock of hybrid debt....
