Alina Oprea • 23 August, 2023 at 6:10 PM
The E.ON Group has issued green bonds of €1.5 billion, as pre-financing for 2024. The green bonds were issued to finance sustainable projects, with an emphasis on the energy transition. Bank of America Securities, Deutsche Bank, Natwest Markets, and Unicredit acted as active agents in the transaction.
"E.ON has issued two bond tranches with a combined volume of €1.5 billion, backed by a €4.3 billion order book: €750 million worth of green bonds maturing in March 2029 and 3.75% coupon; green bonds worth €750 million due in August 2023 and with a 4% coupon," the group announced.
The proceeds from the green bonds will be used to finance and/or refinance eligible green projects as defined in the E.ON Green Bond Framework.
"The high demand from investors once again underlines that we are on the right track with our strategy, which focuses on sustainability, digitization, and growth. E.ON is determined to drive forward the energy transition in Europe. We want to invest a total of €33 billion in the energy transition by 2027. Green bonds are an important financial instrument to do this and we will continue to use them for our financing in the future," says the CFO of E. HE, Marc Spieker.
The attractive market environment allowed E.ON to significantly pre-finance the financing needs for the upcoming financial year 2024, while the financing needs for 2023 were already covered in January with a bond issue of €1.8 billion.