Deutsche Bank Sells First Homeowner Energy-Efficiency Securities

Deutsche Bank AG sold the first securities backed by bonds tied to U.S. energy-saving projects in a deal that follows a federal agency’s objections to the underlying homeowner borrowing.

The Western Riverside Council of Governments in California issued the underlying notes, according to a presale report by Kroll Bond Rating Agency, which planned to grant AA grades to the securities sold today. The offering totaled $103.8 million and carried a 4.75 percent coupon, according to a person with knowledge of the sale, who asked not to be named because the information wasn’t public.