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ENGIE sets new hybrid bond record with the lowest coupon ever achieved by a Corporate

January 11, 2018

Yesterday, ENGIE took advantage of the attractive market conditions to place its first Green Hybrid Bond (Deeply Subordinated Perpetual Bond) of an amount of 1 billion of euros, with a coupon of 1.375% and a Non-Call period of 5.25 years. The bond is intended to replace the € 600M 3.875% Non-Call2018 and the GBP 300M 4.625% Non-Call2019.

The proceeds of this issue will be allocated to the Group’s continued growth in renewable energy or energy efficiency projects, natural resources preservation projects, as well as R&D investments in such areas.

The Green Format of the bond reaffirms the strong commitment of Engie to its sustainable growth strategy. Taking advantage of strong investor demand for higher yielding asset classes (including Hybrid bonds), the coupon of the bond, callable as from April 2023, has been set at 1.375%, representing the lowest coupon rate ever achieved by a corporate issuer for a hybrid bond.

The bond was issued under the Group’s Green Bond Framework and has received a Second Party Opinion delivered by Vigeo Eiris. Both documents are published on the Group’s website.

With this issuance the total amount of bonds issued by ENGIE in Green Bond format reaches 6.25 Billion of euros, making Engie the largest Corporate issuer of Green bonds globally. The bond has received rating of Baa1, BBB and BBB+ from Moody's, S&P and Fitch respectively.

ENGIE is committed to taking on the major challenges of the energy revolution, towards a world more decarbonised, decentralised and digitalised. The Group aims to become the leader of this new energy world by focusing on three key activities for the future: low carbon generation in particular from natural gas and renewable energy, energy infrastructure and efficient solutions adapted to all its customers (individuals, businesses, territories, etc.). Innovation, digital solutions and customer satisfaction are the guiding principles of ENGIE’s development. ENGIE is active in around 70 countries, employs 150,000 people worldwide and achieved revenues of €66.6 billion in 2016. The Group is listed on the Paris and Brussels stock exchanges (ENGI) and is represented in the main financial indices (CAC 40, BEL 20, DJ Euro Stoxx 50, Euronext 100, FTSE Eurotop 100, MSCI Europe) and non-financial indices (DJSI World, DJSI Europe and Euronext Vigeo Eiris - World 120, Eurozone 120, Europe 120, France 20, CAC 40 Governance).

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