We are generally a proponent of “vanilla bonds”: simple bond structures that can most easily fit into institutional investor portfolios.
The world of retail bonds can be different; in fact it can look like a whole different planet with interest rate complexity seen as a selling point rather than a barrier.
(For you poor non-Norwegian readers, we publish in norsk to celebrate that this is the first corporate green bond as well as largest green bond in Norway, and the first hydro-only green bond in the world.)
Av Beate Sonerud, Climate Bonds Initiative policy analyst
I've been in Montreal today discussing the prospects for green property bonds and arguing it's as much about re-financing as new projects. We want an owner of a green hotel chain to be able to issue green bonds (and hopefully expand the chain) as much as an owner doing a new retrofit.
Yesterday, The Nordic Investment Bank (NIB) issued their 6th (and largest!), green bond, to date: The USD 500mn, AAA-rated bond, with 7-year maturity and 2.25% coupon, was more than 1.6x oversubscribed, according to the bank’s press release. Joint book runners were BofA Merrill Lynch, Crédit Agricole CIB and SEB.
BKK, a Norwegian power company based in Bergen, yesterday closed Norway’s first corporate green bond. It overtakes IBRD’s NOK 400m bond as the largest green issuance in Norwegian Krone.
The Overseas Private Investment Corporation (OPIC) is the US government’s development finance institution. It has just issued $47.3m of something called “Green Guaranties”, also known as government-guaranteed Certificates of Participation (CoP)". The interest rate is 3.28%, tenor is 15 years and Bank of America Merrill Lynch was the underwriter.
It's the day after the UN Climate Summit party in New York. Yes I do feel as if I'm hungover; but it was a gas. If you're one of those who worry about the world, there is something magical in being inside the totemic General Assembly, with its embodiment of one world idealism.
Ban Ki Moon's audacious Summit convening (that's really the only power we allow him) made for a really useful event: it bought out marchers around the world to ask their governments for action; and it extracted some useful new commitments, such as:
Massachusetts closed their second green bond last night. They were nearly 3x oversubscribed!
+ Green Bond commitments announcement for next 12 months by issuers, banks and investors
At the UN Climate Summit in New York, today: Investors representing over two trillion dollars of assets under management today issued an Investor Statement on Green Bonds and Climate Bonds, committing to grow a global market in the financing of climate change solutions. At the same a group of 13 development banks, investors and issuers committed themselves to further developing the Green Bonds market.
Wir veröffentlichen erstmals in deutscher Sprache aufgrund der Bedeutung dieser Entwicklung im PfandbriefmarktDie Münchener Hypothekenbank eG hat gerade eine "ESG-markierten" Pfandbrief (Covered Bond) zur Refinanzierung von Darlehen an Wohnbaugenossenschaften emittiert.
