Slovenia has issued its inaugural sustainability bond, raising €1bn from an orderbook which was more than eight times oversubscribed including €600m interest from the joint lead managers. The 10-year bond priced with a coupon of 0.125%, and is the first sovereign sustainability bond in Central and Eastern Europe and only the second by an EU state.
Vattenfall has raised £250m from a green hybrid, its first sterling issuance. The bond was five times oversubscribed and priced with a coupon of 2.5%.
Anglian Water has raised £300m from a sustainability-linked bond, which received orders of £1.6bn. The interest rate on the seven-year bond, which has a coupon of 2%, will be tied to Anglian’s target of a 30% reduction in net operational carbon by 2025 and a 65% reduction in capital carbon by the same year. Anglian claims that it is the first utility company in the world to issue a bond tied to carbon reduction targets.
The city of Tokyo has raised ¥30bn (€228m) from a social bond issue, which priced with half the coupon of its equivalent non-social bond. The five-year bond was 12 times oversubscribed, leading it to price with a coupon of 0.005%, half the rate achieved on a five-year vanilla bond issued earlier this month. Proceeds from the bond will finance projects including aid to SMEs affected by Covid, helping children with disabilities and helping women return to the job market after raising children.
Enbridge has raised $1bn from a sustainability-linked bond. The Canadian pipeline operator was able to secure a yield of 2.54% on the 12-year bonds, which it claims is at least five basis points lower than its vanilla debt would have priced. The orderbook was three times oversubscribed. Enbridge will be subject to a step up penalty of 50 basis points if it fails to meet carbon reduction and racial representation targets.
German chemicals firm Altana has added sustainability metrics to its main lending facility. The €250m, five-year, facility has an interest rate of Euribor plus 40 basis points, which is linked to Altana’s progress against its climate neutrality, energy efficiency and occupational safety targets.
Germany’s agricultural development bank has raised €1bn from a 10-year green bond issue. Rentenbank saw an orderbook which was three times oversubscribed, pricing with a coupon of 0.00%. More than half of allocation was to dark green investors.
Gewobag has issued a €500m social bond to build affordable housing in Berlin. The six-year bond was 2.8 times oversubscribed and priced with a coupon of 0.125%.
Unicredit raised €1bn from its inaugural green bond, off an orderbook which peaked at €3.25bn. The seven-year bond launched with a coupon of 0.8%, and 87% of proceeds went to ESG focused investors. Proceeds will finance projects in the areas of renewables, green buildings and clean transportation.
South Korean chemicals firm LG Chem has raised $1bn from a dual-tranche green bond. The five-year $500m tranche and ten-year $500m tranche priced with coupons of 1.375% and 2.375% respectively, with combined orders reaching $8.5bn.
Italian energy infrastructure firm Snam has raised €500m from its fourth transition bond. The ten-year issue was 2.5 times oversubscribed and priced with a coupon of 0.625%. Eligible projects under its transition bond framework include the adaptation of its gas network for hydrogen, the acquisition and development of biomethane plants and upgrading machinery to reduce emissions.
£190bn of existing mortgage loans in the UK could be eligible for green securitisation, according to a new report from geospatial tech company Kamma. The report says that green securitisations could be the solution for the estimated £48.3bn funding gap in greening residential properties.
Mexican firm Nemak has issued a $500m sustainability-linked bond. The 10-year notes priced with a coupon of 3.625% and will be used to refinance existing debt. The interest rate on the debt will be linked to Nemaks’s progress against its targeted 18% Scope 1 and 2 reductions by 2026.
Gecina has raised €500m from a 15-year green bond issuance. The bond priced with a coupon of 0.875% on an orderbook of €1.4bn, and around 90% of the orders were allocated to “socially responsible” investors. Gecina will use the proceeds from the bond to finance or refinance the construction, acquisition or renovation of low-carbon buildings.
ING Turkey has signed $37m and 269m sustainability-linked loans with a consortium of 22 banks and investors. The two 367-day loans have an interest rate of Libor + 2.5% and Euribor + 2.25% respectively, which is linked to ING’s targets of improved gender balance, increased use of renewables and sustainable asset growth.
Hapag-Lloyd has signed a 12-year $852m green loan with a consortium of ten banks to buy six LNG-fuelled container ships. This is the shipping firm’s second green loan to buy LNG-fuelled ships after it took out an $889m loan in February to pay for another six vessels.
Healthcare property developer Assura has issued a £300m sustainability bond. The 12-year bond has a coupon of 1.625% and will be used to fund the acquisition, development or refurbishment of publicly accessible primary care and community healthcare centres with green building certifications.
Paper producer Suzano has issued a $1bn sustainability-linked bond. The 10-year bond received orders of $3.5bn, and will be subject to a step up of 12.5bp in 2027 if it fails to meet its industrial water usage target. Another 12.5bp step up will come in in 2026 if women do not hold at least 30% of leadership roles in the firm.