Achmea Bank is on track to issue an inaugural conditional pass-through (CPT) covered bond this month or next after its new Eu5bn programme was established and added to the DNB covered bond register today (Friday).

Achmea announced plans to replace an older, unregistered covered bond programme with the new, DNB-registered CPT covered bond programme in August.

The Dutch bank has now published a prospectus for the Eu5bn residential mortgage programme dated yesterday (Thursday), and the programme was added to the Dutch central bank (DNB) list of registered covered bond programmes today.

An official at Achmea told The CBR that the bank plans to enter the market in the second half of this year.

Unlike the older unregistered programme, the new programme is UCITS-eligible and the covered bonds will be compliant with CRR article 129. The covered bonds are expected to be rated Aaa/AAA (Moody’s/Fitch).

Rabobank is arranger and dealer of the new programme.

Achmea’s original, non-registered soft bullet programme – which was set up in 2007 before Dutch covered bond legislation was in place – does not meet UCITS or CRD/CRR requirements that would make it eligible for preferential regulatory treatment. The last bond outstanding off this programme matured in August and Fitch previously deemed the programme dormant.