Italian independent power producer ERG SpAhas launched a six-year EUR 500 million (USD 536.2m) green bond under its EUR 3 billion medium-term note programme, the company announced on Wednesday. The bond, aimed exclusively at Euromarket institutional investors, offers a fixed coupon rate of 4.125%, benefiting from a pre-arranged hedge that reduces the overall cost to approximately 3%.
Proceeds from the bond issuance will be temporarily held until allocated to specific green projects, slated to include wind, solar, and battery storage initiatives across Europe, the UK, and the US.
Following the settlement date scheduled for July 3, 2024, the bond will be listed on the regulated market of the Luxembourg Stock Exchange.
BNP Paribas, CaixaBank, Credit Agricole Corporate and Investment Bank, IMI-Intesa Sanpaolo, Mediobanca, Santander, Societe Generale, and UniCredit acted as joint bookrunners for the issuance, with Credit Agricole Corporate and Investment Bank serving as the green structuring agent.
