Development Bank of Japan program update and $520 million senior notes offering

Davis Polk advised Development Bank of Japan Inc. (“DBJ”) in connection with the update of its global medium-term note program, under which DBJ may issue notes on a Rule 144A / Regulation S or Regulation S-only basis with or without the sovereign guarantee of Japan. In this update, Davis Polk assisted in expanding the program to permit issuances by DBJ of non-guaranteed notes in reliance on Rule 144A / Regulation S. 

Following the update of the program, Davis Polk advised DBJ on its inaugural drawdown of non-guaranteed notes in Rule 144A / Regulation S format, which consisted of $520 million aggregate principal amount of 0.500% senior notes due 2024. The net proceeds of the notes will be allocated to finance or refinance existing and/or future “Eligible Financings,” as defined under DBJ’s sustainability bond framework.

DBJ is a policy and development finance organization wholly owned by the government of Japan. Established in 2008 as a successor to the former Development Bank of Japan, current DBJ is part of a long line of Japanese government finance institutions tracing back to the 1950s.

The Davis Polk corporate team included partner Jon Gray, counsel Christopher Kodama and associate Alexander Coley. Partner Gregory S. Rowland and counsel Sarah E. Kim provided 1940 Act advice. Counsel Alon Gurfinkel and associate Summer Xia provided tax advice. Members of the Davis Polk team are based in the Tokyo, New York and London offices.