German Bank Issues Post Bonds

KfW, the state-owned bank used as a privatization vehicle by the German government, said it planned to issue a five-year bond in Japan valued at around €500 million ($655 million), exchangeable for shares in Deutsche Post, Germany's postal service. The bonds, known as Uridashi bonds, will target private investors, KfW said. The exact size of the issue will depend on investor demand, but the minimum volume of €500 million represents around 25.4 million Deutsche Post shares, or 2.3 percent of the group's share capital, KfW said.