Hypo Real Estate Bank AG:German government to acquire a stake in the share capital of Hypo Real Estate Group

Hypo Real Estate Bank AG / Corporate Action

Release of an Ad hoc announcement according to § 15 WpHG, transmitted by
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The issuer is solely responsible for the content of this announcement.
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German government to acquire a stake in the share capital of
Hypo Real Estate Group

*8.7 per cent stake to be acquired in a first step
*SoFFin intends to gain full control over Hypo Real Estate Group

Frankfurt/Munich, 28 March 2009: The German Financial Markets

Stabilisation Fund (SoFFin) intends to take action to stabilise Hypo Real
Estate Group, in the interest of stabilising the financial markets;
specifically, SoFFin will implement measures to achieve a sufficient
recapitalisation of Hypo Real Estate Holding AG, and will extend further
guarantees. This was confirmed today by SoFFin in a declaration of intent
issued to Hypo Real Estate Holding AG and Hypo Real Estate Bank AG.
It is a prerequisite for the intended recapitalisation of Hypo Real Estate
Group by SoFFin that either SoFFin or the German government gain full
control over Hypo Real Estate Holding AG. To this end is intended to make
use of the options that will be provided by the German Financial Markets
Stabilization Amendment Act, which is currently being discussed in the
legislative process.

As a first step to recapitalise Hypo Real Estate Group, SoFFin has
committed itself to acquiring 20 million Hypo Real Estate shares to be
issued under authorised capital, at the minimum price prescribed by law of
EUR 3.00 per share, to the exclusion of shareholders' pre-emptive rights.
New shares must be issued at least at the minimum issue price, which
amounts to EUR 3.00 per share for Hypo Real Estate Holding AG. The entire
issue amount of EUR 60 million thus payable by SoFFin will be made
available to Hypo Real Estate Holding AG, not to the existing shareholders.
SoFFin will thus acquire a stake of approx. 8.7 per cent in Hypo Real
Estate Holding AG.

The Management Boards of Hypo Real Estate Holding AG and of Hypo Real
Estate Bank AG have undertaken, with the approval of their respective
Supervisory Boards, to SoFFin to take the necessary steps to implement the
recapitalisation.


Contact:
Reiner Barthuber +49-89-203007-201


28.03.2009  Financial News transmitted by DGAP
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Language:     English
Issuer:       Hypo Real Estate Bank AG
              Von-der-Tann-Str. 2
              80539 München
              Deutschland
Phone:        +49 (0) 89 20 30 07 780
Fax:          +49 (0) 89 20 30 07 33 780
E-mail:       info@hyporealestate.de
Internet:     www.hyporealestate.com
ISIN:         DE0008084047, DE0008127200, DE0008127218, DE0008127226,
DE0005463251, XS0303478118
WKN:          808404, 812720, 812721, 812722, 812404, 546325, A0NXMH, Eine
vollständige Übersicht der Eigenemissionen der Hypo Real Estate Bank AG
(ISIN, Börse,Segment) finden Sie unter:,
http://www.hyporealestate.com/7923.php
Listed:       Regulierter Markt in München, Düsseldorf, Stuttgart; Foreign
              Exchange(s) London, Paris, Luxembourg, SWX
 
End of News                                     DGAP News-Service
 
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