The goal is to raise funds to refinance investments in wind farms in UK
Iberdrola has successfully closed its third issue of bonds ‘green’ , this time amounting to 700 million euros and aimed to raise funds to refinance investments in wind farms in the UK.
the electric explains that the maturity of the bonds is nine years , in September 2025, and that the differential placement amounted to 32 basis points on ‘midswap’ with a coupon of 0.375%, the lowest obtained by the company in operations that term capital markets in euros.
the cost of the operation is very competitive, in an environment of low interest rates and cost of credit, and is the result of both the investor interest bond green as the program support the European Central Bank .
in addition, the fixed cost is about 35 basis points below how quotes the Treasury Spanish at the same term, explains the company led by Ignacio Sanchez Galan .
the demand for the operation has exceeded more than twice the initial offer. This type of ‘green’ bonds tend to arouse greater interest since incorporated the socially responsible investors (SRI) .
In fact, over 50% of the transaction was placed on this group of investors, so Iberdrola achieved thus diversify its investor base similar to those of a traditional bond costs.
One of the main features of green bonds is that the proceeds from and devoted to sustainable projects socially responsible , use that is validated by the independent agency Vigeo Eiris.
this Thursday becomes the third issue of this kind by Iberdrola and repeat the success both in April 2014, when the company became the first Spanish company to close a placement green bonds, as in April 2016 .
in a note published on Iberdrola, Vigeo Eiris it has stressed that the group meets all international requirements in terms of sustainable development and believes that it is positioned among the best qualified corporations within the sector ‘utilities’.