Italian independent power producer ERG SpA has initiated a EUR 500 million offering of green bonds, marking its fourth such issuance aimed at financing new renewable energy and energy storage projects across multiple markets.
The six-year securities offer a fixed annual coupon rate of 4.125% and are non-convertible and non-subordinated. ERG reported strong investor demand, with orders exceeding five times the offered amount. The transaction, scheduled to settle on July 3, targeted institutional investors in the Euromarket, with the bonds priced at 99.521% of their nominal value.
“This issue will support the implementation of the 2024-2026 Industrial Plan based on a selective growth strategy in the ‘Value over Volume' renewables sector, while maintaining our robust, efficient financial structure, consistent with our sustainability objectives,” commented Michele Pedemonte, CFO of ERG.
Proceeds from the bond sale will fund ERG's wind, solar, and storage projects across Europe, the UK, and the US. The bonds will be listed on the regulated market of the Luxembourg Stock Exchange.
BNP Paribas, CaixaBank SA, Credit Agricole Corporate and Investment Bank, IMI-Intesa Sanpaolo, Mediobanca, Santander, Societe Generale, and UniCredit served as joint bookrunners for the offering.
