Launch of the APS MKB CLN “Asset Linked Note” – A+ Rated, High-Yield Exposure to German Critical Minerals Infrastructure
- MKB TEAM
- Dec 5, 2025
- 3 min read
MKB Invest AG is pleased to announce the official issuance of the APS MKB CLN “Asset Linked Note”, an institutional-grade securitised note rated A+ (Investment Grade). The product is gaining strong traction among private banks, multi-family offices, and mid-sized institutional investors seeking elevated euro returns without compromising on security or collateral quality.
For deeper insights, we invite you to listen to our specialised podcast on the topic and review the reference article:“European Investors Turn to High-Grade Securitised Notes as APS Launches 9.5% CLN Backed by German Critical Minerals Asset.”
A 9.5% Annual Coupon Backed by an A+ Rated Instrument
Luxembourg-based Arto Private Securities (APS) has launched the APS MKB CLN, offering a 9.5% annual coupon linked to the MKB DQ Bond I 2025(29)—a €250 million infrastructure bond issued by MKB Invest AG that pays 10% per year.
The bond stands out due to its exceptional collateral strength:
Secured by a first-ranking land charge on a mining property in Freiberg, Germany
Asset valuation of €5 billion, providing an extraordinary 20x collateral coverage ratio
Supported by an A+ Investment Grade rating, combining strong credit quality with high yield—a rare proposition in the current euro credit environment
Critical Minerals: A Strategic Backbone for Europe
The bond proceeds support the expansion of extraction and processing facilities for:
High-purity quartz
Silicon
Germanium
Rare earth elements
These materials form the core of Europe’s strategic industries, including semiconductors, renewable energy technologies, battery systems, photonic applications, and advanced manufacturing.
With the EU prioritising secure domestic supply chains for critical minerals, investor interest in the APS-linked structure has grown significantly.
The underlying collateral—a mining property in Freiberg registered in the official Mining Land Book—is located in one of Germany’s most historically established mining regions.
Luxembourg Securitisation Structure: Legal Certainty and Risk Segregation
The APS MKB CLN is issued through Compartment APS MKB under Luxembourg’s Securitisation Act of 2004, ensuring:
Strict segregation of assets
Bankruptcy remoteness
Limited recourse to the specific compartment
A robust legal framework widely used by European banks and institutional sponsors
Luxembourg remains a leading jurisdiction for private securitisation vehicles due to the strength and clarity of its legal protections.
Key Offering Terms
ISIN: CH1508981847
Coupon: 9.5% p.a.
Denomination: €1,000
Minimum subscription: €100,000
Maximum issue size: €250 million
Maturity: 5 January 2030
Optional one-year extension at the issuer’s discretion
Institutional-Grade Subscription and Settlement
Subscriptions and settlement are managed by Kaiser Partner Privatbank AG (Liechtenstein) as paying and settlement agent.
Settlement is executed Delivery-versus-Payment (DvP) through SIX SIS AG, meeting institutional operational standards.
APS receives administrative support from Atdomco S.à r.l. (Luxembourg) and auditing from Fiducia Audit S.à r.l.
Growing Appetite for High-Yield, High-Quality Euro Instruments
In today’s fragmented European rate environment—where sovereign and investment-grade corporate yields often sit below inflation—the demand for structurally secure, higher-yielding alternatives continues to accelerate.
The APS MKB CLN addresses this gap by combining:
A+ investment-grade risk profile
20x overcollateralisation
A fixed 9.5% annual return
Exposure to one of Europe’s most strategically relevant asset classes: critical minerals
These attributes are driving strong interest from wealth managers, private banks and institutional allocators focused on alternative fixed income and real-asset-linked credit.
Whether adoption expands into broader private-market channels will depend on investor appetite for long-dated exposure to Germany’s critical-minerals and advanced-materials sectors—areas increasingly recognised as fundamental to Europe’s industrial and technological resilience.
Learn More
Visit: www.mkbinvest.comTune in to our podcast, where we discuss this product in detail and unpack the strategic considerations behind the issuance.
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