Commentary & Deal Flow

Launched: Long 3yr: €1bn @ MS+3bp - Books over €2.2bn (incl. €225m JLM)
Guidance: Long 3yr: MS+5a

• Issuer: European Stability Mechanism
• Ticker: ESM
• Issuer Ratings: Aaa (stable) / AAA (stable) / AAA (stable) / AAA (stable) (Moody's/S&P/Fitch/Scope)
• Format: Reg S, Bearer, TEFRA Not Applicable, Digitally Native Notes, 0% RW, HQLA/Level 1, ECB eligible
• Ranking: Senior, Unsecured, Unsubordinated
• Coupon: Fixed, Annual ACT/ACT, short first coupon on 8-Apr-27
• Size: €1bn
• Settlement: 2-Nov-26 (T+5)
• Maturity Date: 8-Apr-30 (Long 3y)
• Launched: MS+3bp
• Docs: The issuers Debt Issuance Programme dated 18-Aug-26 & supplement dated 9-Oct-26
• DLT Platform Operator: Clearstream Europe AG (CEU) D7 DLT
• Gov Law: German law (form and issuance) & Luxembourg (other bond terms, e.g. interest payment and redemption)
• Min Denoms: €0.01 and multiple thereof
• Clearing: Euroclear, Clearstream
• Listing: Luxembourg Stock Exchange
• ISIN: EU000A2SCA15
• Target Market: The manufacturer target markets (MIFID II product governance) as assessed by the lead managers are eligible and professional counterparties only (all distribution channels)
• Digital Advisors: DZ Bank & Societe Generale
• Bookrunners: DZ Bank / HSBC / Santander / Societe Generale (B&D/DM)
• Timing: Books to close 10.45am LDN / 11.45am CET
• Notes: The Digitally Native Notes will be issued on a distributed ledger technology (DLT) platform operated by Clearstream Europe AG (D7 DLT Platform) and in the context of the Eurosystems Pontes initiative. The Digitally Native Notes are eligible for clearance and settlement through all traditional Clearstream Banking and Euroclear Bank SA/NV rails. The European Stability Mechanism (ESM) Debt Issuance Programme has been updated to enable issuance of Digitally Native Notes (DNN). Supplement to Debt Issuance Programme & Investor Presentation: https://www.esm.europa.eu/content/digital-finance