French bank Societe Generale (EPA:GLE) last week issued a EUR-500-million (USD 561m) Positive Impact Bond, aligned with the Green Bond Principles.
The bank will use the proceeds to finance renewable energy projects in order to help fight climate change, it said on Thursday. The fixed-rate senior note matures in five years. The issuance attracted strong demand from socially responsible investors (SRI). These accounted for 74% of the order book.
“Societe Generale maintains an increasing presence in the renewable energy sector with the doubling of its financing for the sector and the capacity to access up to EUR 10 billion of funding for these projects by 2020.” This is its second Positive Impact Bond.
According to the website of the Climate Bonds Initiative, green bond issuance so far in 2016 has reached USD 54.4 billion.