MBB's bond invalid due to missing signature - report

Jun 25, 2014 - The global certificate for German investment vehicle MBB Clean Energy's 2013 bond is invalid because of the missing signature of a second representative for the company.

The certificate is only valid if it is signed by two persons empowered by the bond issuer. However, MBB's paper was signed only by executive Eckhart Misera and was accepted by Clearstream in this form, which is a possible explanation for the delayed interest payment and the subsequent invalidation of the global certificate, daily Frankfurter Allgemeine Zeitung said, citing market experts.

In May 2013, MBB issued a EUR-72-million bond. In the spring of 2014, international investors were allegedly ready to provide the troubled company with further EUR 500. In the course of the preparations for the financing the missing signature was most probably noticed.

This could have been the reason why MBB did not receive the financing and agreed a waiver of interest payments, the paper said.

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