February 13 (Renewables Now) - Canada Pension Plan Investment Board (CPPIB) has issued about EUR 511 million (USD 554m) in green bonds to refinance its stake in a 609-MW offshore wind complex in German waters.
Insurance group Talanx AG (ETR:TLX), whose affiliates funded EUR 321 million of the green bonds, announced the transaction on Wednesday.
CPPIB owns a 49.9% stake in the 497-MW Hohe See and 112-MW Albatros wind farms together with Canadian energy firm Enbridge Inc (TSE:ENB). The controlling stake of 50.1% in the sister wind farms is owned by EnBW Energie Baden Wuerttemberg AG (ETR:EBK).
The two wind farms, located to the west of Helgoland, were recently commissioned and connected to the power grid.
Talanx coordinated the senior bond issue with German insurance investors including Signal Iduna and Versicherungskammer Bayern. The notes qualify as green bonds under CPPIB's green bond framework. Amsterdam Capital Partners BV was CPPIB's financial advisor on the issue.
This is the latest large-scale offshore wind deal in which Talanx takes part, after coordinating financing for Global Infrastructure Partners' (GIP) 50% stake in the 450-MW Borkum Riffgrund 2 offshore wind project in 2017 and the Gode Wind 1 offshore wind farm in 2015. It has led structured finance deals in the German offshore wind sector with a total value of over EUR 1.9 billion to date.
(EUR 1.0 = USD 0.920)