Covered bonds as debt instruments

A covered bond is a debt security that represents the obligation of a mortgage bank to pay its holder a specified amount of money on a designated date, along with interest payments made on scheduled dates in accordance with the terms of the issuance. The basis for issuing covered bonds is the mortgage bank’s receivables arising from mortgage loans. Covered bonds are characterized by a high level of security and low investment risk. In Poland, the rules governing the issuance and collateralization of covered bonds are regulated by the Act of August 29, 1997 on Covered Bonds and Mortgage Banks.

 

Domestic program of covered bond issuance

International Programme of Covered Bond Issuance (EMTN)

Series of covered bonds issued by Millennium Bank Hipoteczny S.A.

Mortgage covered bonds issued under the domestic program of covered bond issuance established by a resolution of the Management Board of Millennium Bank Hipoteczny S.A. dated October 28, 2021:

Series ISIN code Issue date Maturity date Nominal value (PLN) Interest rate Currency Issue rating** Listing Labeling of mortgage covered bonds*
1 PLMLNBH00014 12.06.2024 11.06.2027 300 000 000 WIBOR 3M+
57 bps		 PLN AAA / negative (Fitch Ratings) WSE – regulated parallel market (Catalyst) European Covered Bond (Premium)
2 PLMLNBH00022 05.11.2024 05.11.2029 500 000 000 WIBOR 3M+
80 bps		 PLN AAA / negative (Fitch Ratings) WSE – regulated parallel market (Catalyst) European Covered Bond (Premium)
3 PLMLNBH00030 12.03.2025 12.03.2030 500 000 000 WIBOR 3M+
89 bps		 PLN AAA / negative (Fitch Ratings) WSE – regulated parallel market (Catalyst) European Covered Bond (Premium)
3-2 PLMLNBH00030 12.03.2025 12.03.2030 300 000 000 WIBOR 3M+
89 bps		 PLN AAA / negative (Fitch Ratings) WSE – regulated parallel market (Catalyst) European Covered Bond (Premium)

*Pursuant to Article 7d of the Act on Covered Bonds and Mortgage Banks of 29 August 1997 (Journal of Laws 1997 No. 140, item 940, as amended), a covered bond may be designated as a “European Covered Bond” or “European Secured Bond”, together with a translation of this designation into all official languages of the European Union. A covered bond that meets the requirements set out in Article 129 of Regulation (EU) No 575/2013 of the European Parliament and of the Council of 26 June 2013 on prudential requirements for credit institutions and amending Regulation (EU) No 648/2012 (OJ EU L 176 of 27.06.2013, p. 1, as amended), may be designated as a “European Covered Bond (Premium)” or “European Secured Bond (Premium)”, together with a translation of this designation into all official languages of the European Union.

**Until 2 July 2024, the rating was: AA+ /positive; from 3 July 2024 until 9 September 2025, the rating was : AAA /stable; starting from 9 September 2025, the rating is: AAA /negative

CFI and FISN codes:
- for Series 1 (PLMLNBH00014) – respectively: DGVUFB and MILLEN BH/VAR MTG BD 20270611 SER-1,
- for Series 2 (PLMLNBH00022) – respectively: DGVUFB and MILLEN BH/VAR MTG BD 20291105 SER-2,
- for Series 3 and 3-2 (PLMLNBH00030) – respectively: DGVUFB and MILLEN BH/VAR MTG BD 20300312 UNSEC.