ESB has issued Ireland’s first corporate public green bond, the €500m proceeds of which will be used for a number of sustainable projects, including renewables.
The 1.125% fixed-rate bond matures in June 2030 and will also help finance network connections for onshore wind farms and electric vehicle charging infrastructure.
ESB said the bond is being purchased primarily by European institutional investors with orders received of over €4bn.
This enabled the company to price the bond at 1.125%, ESB’s lowest ever coupon for a senior bond.
ESB said its Green Bond Framework, under which the bond was issued, has been reviewed by Sustainalytics.
Sustainalytics ensured the issuance was in line with relevant industry standards, such as the International Capital Market Association’s Green Bond Principles.
ESB group finance director Pat Fenlon said: “Today ESB issued Ireland’s first corporate public green bond for €500m, the proceeds from which will be used to finance projects which will facilitate the transition to a low carbon energy future and help Ireland to meet its ambitious climate change targets, including having 70% of electricity produced from renewable sources by 2030.
“The interest shown by investors from right across Europe in this our first green bond demonstrates confidence in ESB’s investment programme to lead the transition to a low carbon energy future.”