Issuance with T2S
T2S will complement the proven worldwide issuance and distribution services of Clearstream’s Global Issuer Hub. Issuers will benefit from the best of both worlds: the holistic services of the Global Issuer Hub for international issuances as well as more efficient issuance in Europe.
Streamlined issuance in Europe
By choosing Clearstream as their single point of access to T2S markets, issuers can consolidate all their issuances in the Global Issuer Hub and benefit from lower costs. For example, consider a Belgian issuer targeting local Spanish and German investors.
Although this is possible without T2S, the costs are significant as the issuer either needs to be present or represented in each local market or the investors need to appoint local custodians in the issuer’s home market. Under T2S, a Belgian issuer will be able to centralise the primary issuance via Clearstream which will then be distributed to German, Spanish or any other European investors via T2S.
Global issuance and distribution
The reach of the Global Issuer Hub exceeds the T2S area. Issuers worldwide can choose from almost 100 denomination currencies, more than 20 legal frameworks, over 40 settlement currencies and distribution channels to 2,500 customers and more than 50 CSDs around the world. Over 14,000 issuers already avail of the extensive suite of Global Issuer Hub services at Clearstream.
Thanks to the seamless integration of Clearstream’s CSD and ICSD, issuers will be able to distribute their securities to investors worldwide. This means that the Belgian issuer in the example above can reach both European and global investors via one single place of issuance. In addition to enabling the direct issuance of European securities through its CSDs, Clearstream will also support the issuance and distribution of international securities such as Eurobonds in T2S.
In sum, issuers can use Clearstream’s Global Issuer Hub as their single primary issuance location for both European and worldwide issuance under T2S and beyond, making Clearstream the ideal gateway to capital markets worldwide.