TenneT Holding has successfully launched and priced a senior green bond issue of €1bn to finance transmission projects in the Netherlands and Germany.
The market demonstrated keen interest for the offering with an order book of approximately €2bn, TenneT said.
With the offering, TenneT reconfirms its status amongst the top 3 corporate issuers of green debt financing globally, with currently approximately €13bn of green debt issued across different formats during the last 6 years
Proceeds will be used to invest in eligible green power transmission projects focused on connecting large-scale offshore wind farms to the onshore electricity grid and enhancing the onshore transmission capacity for renewable energy.
TenneT was supported on the transaction for the 13.6 year bond with a coupon of 0.875% by 6 Joint Bookrunners: BNP Paribas, Deutsche Bank, HSBC, ING Bank, NatWest Markets and SMBC Nikko.
With annual planned investments expected to grow to approximately €5bn to €6bn within the next five years, TenneT is heavily investing in the energy transition in Europe, whilst maintaining a solid financial position.
The majority of TenneT’s investments are directly related to the increase in renewable energy sources, such as wind and solar energy.
By 2030 TenneT expects to have realized approximately 28GW of connection capacity for offshore wind farms in the Dutch and German parts of the North Sea, transmitting an amount of electricity sufficient to support the energy usage of approximately 28 million households.