Green Bond Fact Sheet

Landshypotek Bank

Date: 17-May-2018

Issue date: 25-May-2018 Maturity date: 25-May-2023 Tenor: 5Issuer Name

Landshypotek Bank

Amount Issued

SEK5.2bn (USD605.1m)

Country of risk

SwedenCBI Database

Included

Issuer Type1

Financial Corporate

Bond TypeGreen Covered Bond

Green Bond Framework

Link to Framework

Second party opinion

Certification Standard

Not certified

Assurance report

N/A

Certification Verifier

N/AGreen bond rating

N/A☒ Energy☒ Solar☒ Onshore wind
☒ Offshore wind
☐ Geothermal☐ Hydro☐ Tidal☐ Biofuels☐ Bioenergy☐ Waste to energy☐ District heating☐ Electricity grid

☐ Energy storage☐ Energy performance☐ Infrastructure☐ Industry: components☐ Adaptation & resilience☒ Buildings☒ Certified Buildings☐ HVAC systems☒ Energyperformance☐ Water performance☐ Energy storage/meters☐ Other energy related☐ Industry: components☐ Adaptation & resilience☐ Transport☐ Electric vehicles☐ Low emissionvehicles☐ Bus rapid transit☐ Passenger trains☐ Urban rail

☐ Freight rolling stock☐ Coach / public bus☐ Bicycle infrastructure☐ Energy performance☐ Transport logistics☐ Infrastructure☐ Industry: components☐ Adaptation & resilience☐ Water & wastewater☐ Water distribution☐ Water treatment☐ Wastewatertreatment☐ Water storage☐ Storm water mgmt
☐ Desalinisation plants☐ Erosion control☐ Energy performance☐ Infrastructure☐ Industry: components☐ Adaptation & resilience☐ Waste management☐ Recycling☐ Waste prevention☐ Pollution control☐ Landfill, energy capture☐ Energy performance☐ Infrastructure☐ Industry: components☐ Adaptation & resilience

CICEROUse of Proceeds☒ Land use & agriculture☐ Afforestation/parks☒ FSC Forestry☐ FSC Cellulose &paper☐ Land remediation☐ Energy/water efficiency☐ Sustainable agriculture☐ Adaptation & resilience☐ Other☐ Adaptation &resilience☐ ICT☐ Industry: process

Issue details
Reporting

The issuer will report annually on allocation of proceeds as well as on aggregatedannual absorption of GHGs. Information will be publicly available and disclosed on
Landshypotek Bank’s website. Review on the allocation of Green Bond net
proceeds will be performed by Landshypotek’s independent and internal risk
management department annually.

Company information

Landshypotek Bank is a Swedish member owned bank, with a clear purpose tofinance land and forest. It provides financial services and insurance products,accepts savings accounts and offers various loans.

Firsts, records andcertificationsFirst green covered and largest bond from Sweden.

Proceeds description

The deal is backed by and will finance sustainable forestry where assets are FSC
and/or PEFC certified.
The Green Bond Framework also includes wind and solar assets; green buildingsthat have an Energy Performance Certificate (EPC) with energy class A or B,
meaning at least 25% less total energy use (kWh) per heated square meter thanrequired by the Swedish National Building regulations. In addition, retrofit ofexisting buildings have to achieve at least 30% improvement in energy use. CICERO
awarded the GB framework as “dark green”.

Climate Bonds view

Forests are valuable assets to maintain biodiversity and to absorb sizable amountof carbon dioxide emissions. It is very gratifying to see that forests represent thecover pool of the first green covered bond issued in Sweden, and we hope to see
more issuers following suit.

Underwriters

Danske, Handelsbanken, Nordea.

Deal comments
Credit Rating

AAA (S&P)

Pricing summary

The deal was priced with a sizeable saving versus the expected pricing of acorresponding deal on Landshypotek’s non-green curve as the issuer was offered a
6 bp saving.

Investors summary1

The issuer reached some accounts from across the Nordics that had not invested in
the bank’s issuance before. The order book was supported by a number of highquality, dedicated green accounts.

Issuer categories: ABS, development bank, financial corporate, government-backed entity, loan, local government, non-financial
corporate, sovereign