Insurance

Allianz looking to replace Europe insurers’ largest traditional bond

Insurer is now offering a new euro-denominated junior note as Munich-based firm proposes buying entire €1.5 billion perpetual note that is set to lose regulatory value at the end of next year

There are still €13.8 billion of so-called Solvency II grandfathered notes by European insurers outstanding, with Allianz’s issue being by far the largest

Insurance giant Allianz SE is looking to replace the biggest bond remaining under Europe’s old regulatory regime as it taps the market for new issues early on this year.

The Munich-based insurer is offering a new euro-denominated junior note on Wednesday while proposing to buy the entire €1.5 billion perpetual note that is set to lose regulatory value at the end of 2025.

Allianz’s move to manage its debt is the latest in a series ...