SIX Issues the World’s First Digital CHF Bond

Thursday, 18/11/2021 | 21:55 GMT by Felipe Erazo
  • Credit Suisse, UBS Investment Bank and Zürcher Kantonalbank acted as the joint lead managers.
SIX Issues the World’s First Digital CHF Bond
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The Switzerland Stock Exchange (SIX) announced on Thursday that its SIX Digital Exchange successfully placed the first senior unsecured digital CHF bond. According to the press release, the total volume of the transaction was CHF 150 million, and its maturity was set for 2026 through SIX Group Ltd.

The exchange noted that the bond is split into two exchangeable parts: the digital and traditional parts held by SIX Digital Exchange Ltd and SIX SIS Ltd. The bonds will be repaid at their nominal value on the due date unless they are repaid prematurely or acquired and canceled, SIX noted.

“Today’s issuance is an extraordinary success, as this is the world’s first bond issuance with a pure digital part in a fully regulated environment. The offering was oversubscribed several times and attracted strong interest from a very broad institutional investor base in Switzerland – evidence of the fact that the SIX’s stakeholders appreciate its strong track record, its substantial cash generation, robust business model and potential for growth very positively,” SIX commented on the milestone achieved.

For this purpose, Credit Suisse, UBS Investment Bank and Zürcher Kantonalbank acted as the joint lead managers, SIX pointed out.

“This is an innovative and historic transaction as it is the first of its kind in the world on a regulated and fully integrated digital exchange. The transaction was supported by key Swiss market participants and has demonstrated that the investor base is convinced of the innovative power of the Swiss financial market and of the supporting role of SIX in the transformation and development of the financial center,” Daniel Schmucki, CFO of SIX, highlighted.

SIX Metrics for October

Recently, SIX reported that its trading turnover reached CHF 92.6 billion, which is 14.1% down from the previous month, while the number of transactions dropped by 6.2% to a total of 4,853,176.

The report revealed that securities valued at CHF 5.6 billion changed hands on October 29, which was the highest volume for a single day.

The Switzerland Stock Exchange (SIX) announced on Thursday that its SIX Digital Exchange successfully placed the first senior unsecured digital CHF bond. According to the press release, the total volume of the transaction was CHF 150 million, and its maturity was set for 2026 through SIX Group Ltd.

The exchange noted that the bond is split into two exchangeable parts: the digital and traditional parts held by SIX Digital Exchange Ltd and SIX SIS Ltd. The bonds will be repaid at their nominal value on the due date unless they are repaid prematurely or acquired and canceled, SIX noted.

“Today’s issuance is an extraordinary success, as this is the world’s first bond issuance with a pure digital part in a fully regulated environment. The offering was oversubscribed several times and attracted strong interest from a very broad institutional investor base in Switzerland – evidence of the fact that the SIX’s stakeholders appreciate its strong track record, its substantial cash generation, robust business model and potential for growth very positively,” SIX commented on the milestone achieved.

For this purpose, Credit Suisse, UBS Investment Bank and Zürcher Kantonalbank acted as the joint lead managers, SIX pointed out.

“This is an innovative and historic transaction as it is the first of its kind in the world on a regulated and fully integrated digital exchange. The transaction was supported by key Swiss market participants and has demonstrated that the investor base is convinced of the innovative power of the Swiss financial market and of the supporting role of SIX in the transformation and development of the financial center,” Daniel Schmucki, CFO of SIX, highlighted.

SIX Metrics for October

Recently, SIX reported that its trading turnover reached CHF 92.6 billion, which is 14.1% down from the previous month, while the number of transactions dropped by 6.2% to a total of 4,853,176.

The report revealed that securities valued at CHF 5.6 billion changed hands on October 29, which was the highest volume for a single day.

About the Author: Felipe Erazo
Felipe Erazo
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Felipe earned a degree in journalism at the University of Chile with the highest honour in the overall ranking, and he also holds a Bachelor of Arts in Social Communication. In addition, he has been working as a freelance writer and Forex/crypto analyst, with experience gained from several forex broker firms and crypto-related media outlets around the world. He has been involved in the world of online forex trading since 2010 and in the crypto sphere since 2015.

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