Neoen eyes EUR 170m from maiden European green bond sale

May 28 (Renewable Now) - France’s Neoen SA (EPA:NEOEN) is seeking to raise up to EUR 170 million (USD 187.3m) through an offering of European green bonds aimed at financing its renewables business.

The French power producer said on Wednesday that this is its debut placement of European senior unsecured bonds that are convertible into new shares of the company and exchangeable for existing stock. Funds from it will be allocated to support Neoen’s wind, solar photovoltaic (PV) and storage projects and will contribute to its goal of having over 5 GW of capacity in operation or under construction by end-2021.

The bonds are being placed among qualified investors at a premium of 35% to 40% above Neoen’s reference share price that will be set after an accelerated bookbuilding. The securities, due in 2025, will have an interest rate of between 2% and 2.5%.The final terms of the offering and the selling price will be announced soon, with the settlement to take place on June 2.

At the end of March, Neoen’s operational capacity reached 2 GW. The company additionally had 2.2 GW of awarded projects and plants under construction.

(EUR 1.0 = USD 1.102)

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