Danske Hypotek AB
Danske Hypotek is a wholly owned Swedish subsidiary of Danske Bank A/S. In the middle of 2017 the company received permissions from the Swedish Financial Supervisory Authority to conduct business as a credit market company and to issue covered bonds.
The primary purpose of establishing the company is to create long-term stable financing with regard to Swedish mortgage loans. The Swedish branch’s long-term growth in Sweden is supported through the company’s access to the Swedish benchmark market for covered bonds. This way, the best possible conditions are created for the Swedish branch to offer long-term competitive lending to Swedish mortgage loan customers and owners of residential properties in Sweden.
Danske Hypotek acquires Swedish mortgages from Danske Bank A/S, which are secured by Swedish real property (fastigheter), site leasehold rights (tomträtter) and tenant-owner rights (bostadsrätter) and funds these assets with the continuous issuance of covered bonds, primarily in the Swedish benchmark-market. The company has also established a covered bond program for potential issuance in the international market. The acquired mortgages are included in the company’s Cover Pool and comply fully or in part with the requirements under the Covered Bonds Act. The company may also hold Supplemental Assets, and Public Credits can be used as supplemental security in accordance with the Covered Bonds Act.
Danske Hypotek gradually acquires mortgage loans from Danske Bank A/S for the purpose of including them in its Cover Pool. The acquisitions are both made in bulk, as Danske Bank’s outstanding covered bonds backed by Swedish mortgage loans matures, and in smaller continuous acquisitions as the Swedish Branch originates new mortgage customers in Sweden. The company has initially acquired residential mortgage loans to private individuals. In a subsequent phase, Danske Hypotek intends to acquire mortgage loans to owners of residential multi-family properties.
Danske Bank A/S, Swedish Branch
The history of Danske Bank’s operations in Sweden dates back to 1997 and today the bank is the fifth-largest in the country. With 1,400 employees the bank serves personal and business customers and large institutional clients from approximately 30 local branches and six regional finance centers. With a total market share of 5.2%, Danske Bank in Sweden continues to attract new customers through strategic partnerships with organizations like Saco and TCO which comprises 23 and 14 unions, respectively and together they have more than 2 million union members.
Danske Bank A/S
The Issuer forms part of the Danske Bank Group. The parent company of the Group is the Parent. The Parent was founded in Denmark and registered on 5 October 1871 and has, through the years, merged with a number of financial institutions. The Parent is a commercial bank with limited liability and carries on business under the Danish Financial Business Act (Consolidated Act No. 1140 of 26 September 2017, as amended (Lov om finansiel virksomhed)). The Parent is registered with the Danish Business Authority and is under the supervision of the DFSA. The registered office of the Parent is at 2-12 Holmens Kanal, DK-1092 Copenhagen K, Denmark, with telephone number +45 33 44 00 00 and Danish corporate registration number 61126228.
The Parent is conducting its lending operations in Sweden through the Swedish Branch. The structure of the Group is set out in the structure chart below.
The Group is the leading financial service provider in Denmark (source: the DFSA) measured by total working capital (defined as deposits, issued bonds, subordinated debt and shareholders’ equity) as at 30 September 2017. The Group also has significant operations in its other main markets, Sweden, Norway and Finland, and it is one of the largest financial service providers in the Nordic region measured by total assets as at 31 December 2017. The Group offers customers a wide range of services in the fields of banking, mortgage finance, insurance, pension, real-estate brokerage, asset management and trading in fixed income products, foreign exchange and equities. As at 31 December 2017, the Group’s total assets amounted to DKK 3,540 billion (EUR 475.4 billion) and the Group employed 19,768 full-time equivalent employees. As at the same date, the Group had approximately 3.4 million customers and approximately 2.2 million customers used the Group’s online services. The Group had 250 branches as at 31 December 2017. The Group has five business units, a Non-core unit and Other Activities. The five business units consist of (i) Banking DK; (ii) Banking Nordic, (iii) Corporates & Institutions, (iv) Wealth Management, and (v) Northern Ireland. The Wealth Management unit includes Danica Pension, Danske Capital and parts of the private banking operations.
For more information on Danske Bank group