French renewables developer Neoen has raised €170m to finance its solar and wind expansion.
The company successfully issued a European green bond to qualified investors at a premium of 40% above its reference share price at an interest rate of 2%.
Cash will be used for new projects, to refinance existing schemes and for storage development.
Spending will contribute to the company’s aim to have 5GW of renewables capacity in operation and construction by end-2021.
Chief executive Xavier Barbaro said: “The strong success of this first ever green convertible bond in Europe further reinforces Neoen’s role as a responsible player in the field of renewable energies and a pioneer in sustainable finance.
“This green convertible bond issuance has been concluded under very favorable conditions both for Neoen and our shareholders.
“It has also provided a new opportunity for investors to participate actively alongside us in the global combat against greenhouse gas emissions and climate change.”