September 6 (Renewables Now) - The International Finance Corporation (IFC) said on Thursday it has raised CAD 750 million (USD 567m/EUR 514.3m) from its first issue of Canadian dollar-denominated green bonds.
The offering of the five-year financial instruments was met with strong investor demand, with 50% of it coming from Canadian parties. Funds from the placement will go for climate-related projects, among which will be renewable energy, green buildings, sustainable forestry and energy efficiency schemes.
The bonds bear an annual coupon of 1.375% and mature on September 13, 2024. They will be listed on the Luxembourg and Euronext Dublin bourses. Lead managers of the transaction were BMO Capital Markets, RBC Capital Markets and Scotiabank (TSE:BNS).
IFC, which is a member of the World Bank Group, launched its first green bond placement back in 2010 and has so far issued USD 9.5 billion of those securities. The lender’s goal is to lift its climate investments to 28% from its own account and mobilise an additional USD 13 billion a year in private financing by 2020.
(CAD 1.0 = USD 0.756/EUR 0.686)