Enel Finance International has placed a €1bn green bond, its third on the European market.
The transaction has received subscriptions amounting to more than €4.2bn, with significant participation from socially responsible investors.
The net proceeds of the issue will be used to finance or refinance eligible green projects of Enel’s in areas such as sustainable mobility, renewable generation, smart grids, energy efficiency and demand response.
The issue provides for repayment in a single instalment at maturity on 21 July 2025 and the payment of a fixed-rate coupon equal to 1.5%, payable annually in arrears in the month of July from 2019.
The issue price has been set at 98.565% and the effective yield at maturity is equal to 1.736%. The settlement date for the issue is 21 January 2019.
The green bond is expected to be listed on the Irish Stock Exchange and Luxembourg Stock Exchange.
It will also be admitted to trading on the multilateral trading facility “ExtraMOT PRO” organised and managed by Borsa Italiana.
The transaction is consistent with Enel Group’s financial strategy set out in its 2019-2021 Strategic Plan, which plans for the refinancing of €13.6bn through 2021, including the issue of green bonds as instruments dedicated to financing projects that will spur the transition to the low carbon economy.
Enel Group has prepared and published a new Green Bond Framework, which was updated following the presentation of the 2019-2021 Strategic Plan in November 2018, to facilitate transparency and the commitments made by the company with regard to green bonds.