ENGIE issues EUR 1.5 billion of green bonds, now largest corporate green bond issuer
- Total amount of green bonds issued by ENGIE now EUR 8.75 billion
- 75% of issue allotted to green investors
On Friday, 14 June, ENGIE launched a EUR 1.5 billion bond issuance in green bonds format: the issuance proceeds will be used exclusively to finance numerous green projects in the area of renewable energies and energy services developed by the Group across the world.
With this new issue, the total outstanding amount of green bonds issued by ENGIE is EUR 8.75 billion, meaning that the Group is now the largest corporate issuer of green bonds.
This issue has been made in two tranches of EUR 750 million each, for periods of 8 and 20 years. These new bond investments carry coupons of 0.375% and 1.375% respectively – i.e. an average coupon of 0.875% for a bond issue with an average term of 14 years. Furthermore, the Group is shoring up its appeal for green investors, to whom more than 75% of bonds have been allotted.
Judith Hartmann, ENGIE’s EVP and CFO said: “ENGIE has undertaken to reconcile the company's long-term vision with the financial objectives of investors. Green bonds, which help fund our clients' zero carbon transition, are an essential lever for doing so".
Green finance has a key role to play in helping to deliver the energy transition. As a pioneer in green finance, ENGIE has proceeded with 6 issuances of green bonds since 2014, including one worth EUR 1 billion in January 2019.