German developer BayWa has successfully issued its first green bond, with the proceeds to be used to finance new and existing wind and solar power plants around the world.
A total of €500m was placed for domestic and international institutional investors, the company said.
It added that this was the first green bond transaction in benchmark size in Europe of an unrated issuer.
The bond was presented to investors in Germany, England, France, Austria and Switzerland during a roadshow at the start of June.
BayWa chief executive Klaus Josef Lutz said: “Today’s issue is the next logical step in our corporate strategy. Financing thereby also follows in the same direction.”
The transaction was led by BNP Paribas (green structuring advisor), DZ Bank, ING Bank NV and UniCredit Bank as joint lead manager.
The green bond has a term of five years and is traded on the regulated market of the Luxembourg Stock Exchange.