BayWa forays into green bond market with EUR-500m deal


June 19 (Renewables Now) - German diversified group BayWa AG (ETR:BYW6) has raised EUR 500 million (USD 559.6m) from its maiden offering of green bonds in a transaction that was “considerably” oversubscribed.

The proceeds will be allocated for new and existing wind and solar parks globally, BayWa said on Tuesday.

The securities were placed for domestic and international institutional investors from Germany, England, France, Austria and Switzerland. They have a coupon of 3.125% and a term of five years. It is traded on the regulated market of the Luxembourg bourse.

BNP Paribas led the placement, while DZ Bank AG, ING Bank NV and UniCredit Bank AG acted as joint lead managers.

BayWa noted that the sale represents the first green bond transaction in benchmark size in Europe of an unrated issuer. "The fact that the green bond was considerably oversubscribed is a clear sign that BayWa is seen as sound and attractive by investors from over 20 countries," commented Andreas Helber, BayWa’s chief financial officer.

(EUR 1.0 = USD 1.119)

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Veselina Petrova is one of Renewables Now's most experienced green energy writers. For several years she has been keeping track of game-changing events both large and small projects and across the globe.

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