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History of MBH Mortgage Bank

1998: Fundation

MBH Mortgage Bank Co. Plc. as FHB Land Credit and Mortgage Bank and later Takarék Mortgage Bank (hereinafter: Bank) started its operation in 1998. As the first specialized mortgage credit institution, it created the basis of mortgage lending business operating with mortgage bank background in the Hungarian banking market, actively participated in establishing the legal environment of mortgage banking operations, and made mortgage-based financing available with mortgage bonds available in the country. The Bank’s shares are listed on the Budapest Stock Exchange (BSE) since 2003.

Initially the Bank’s main activity became the financing of the development and the purchase of residential real estate and the disbursement of state-subsidized housing loans. The covered bond issuance has always been the Bank’s other main business activity. By the end of 2000, the Bank was already considered as a significant player in the Hungarian housing finance and in the covered mortgage bond market.

The Bank gradually introduced mortgage bonds to market participants, made this asset class widely accepted in the market, created direct relationship with potential investors seeking long-term investment opportunities, and established the primary and secondary markets for public issuance of covered mortgage bonds. Its name has become also well known in the international covered bond market. As a mortgage bond issuer, it has won 10 times the “Best Senior Unsecured Bond Issuer of the Year” and “Mortgage Bond Issuer of the Year” awards established by the BSE.

2006-2015: Expansion, Development, Positioning

With the foundation of Takarek (ex-FHB) Commercial Bank the formation of the ex-FHB Group started in 2006. Among the group members there were the FHB Service Provider, the FHB Real Estate, and the FHB Life Annuity. The Bank was the mother company of the FHB Group, and exercised ownership control over the members of the group.

2015: Joining to the Integration Organization

The Bank became the member of Organization of Integration Credit Institutions (IHKSZ) in September 2015. IHKSZ membership provides greater security for the Bank's mortgage bond holders, as IHKSZ's internal cross-guarantee system covers senior unsecured bonds and mortgage bonds issued by the Bank.

2017-2023: New name (Takarék), new strategy, refinancing in the focus

The Bank sold all of its subsidiaries and handed over its group leader’ tasks to MTB Takarékszövetkezeti Bank Zrt. in these years. The official name of the Bank was changed to Takarék Mortgage Bank Co. Plc. on June 25, 2018.

The Bank's profile has been clarified since 2018, which was in line with the long-term goals of the Group, it operates as a refinancing mortgage bank, consequently its main activities are refinancing mortgage loans for members of the Group and third-party partner banks outside the group, as well as issuing mortgage bonds.

2023- : Membership in the MBH Group and new name MBH Mortgage Bank

As of 1 May 2023 the MBH Group was established and the new corporate name of the Company became MBH Mortgage Bank Co. Plc. – with unchanged business profile. MBH Mortgage Bank co. Plc. is a member of the MBH Bank Prudential Group and the MBH Integration Group.

The Bank is an active issuer of green mortgage bonds on the domestic capital market based on the Green Mortgage Bond Framework prepared in 2021. We are committed to sustainable mortgage lending, whereas our ESG strategy and our Sustainability Reports give a basis for our commitments and results.