SUEZ has successfully completed a new €1.7bn Green Bond issuance
> Strong investors response with combined orders above € 3.5bn
After an initial issue of 2.6 billion euros last May, SUEZ successfully placed its second Green Bond issuance at 6 and 10 years. The new transaction, executed on October 26, was met with high levels of interests. The total order book amounted above € 3.5bn, implying an oversubscription ratio of 2.1 times.
For a total amount of €1.7billion, this Green Bond is made up of two tranches:
- EUR 800 million at a fixed rate with a maturity of 6 years, with an annual coupon of 4.625%
- EUR 900 million at a fixed rate with a maturity of 10 years, with an annual coupon of 5.000 %
In line with its inaugural Green Bond, the proceeds are fully dedicated to refinancing the remaining portion of the Issuer's financial debt which initially financed whole or part of Eligible Green Projects.
This new issuance is part of SUEZ's strategy, presented in September, to become the trusted partner for circular solutions in the water and waste sector. With this transaction, SUEZ further strengthens its position as a major Green Bond corporate issuer.
SUEZ’s Green Bond framework is aligned with the ICMA’s Green Bond Principles (« L'International Capital Market Association »), as set out in a Second Party Opinion provided by Sustainalytics, a leading independent ESG ratings agency.
The issue’s smooth placement with leading European institutional investors illustrates the market’s confidence in the Group’s credit and sustainability profile. SUEZ is rated Baa2 / outlook stable by Moody’s.
Following these two bond issuances, the Group will have completed in five months the refinancing of the bank debt put in place for the acquisition of the initial scope of its activities. SUEZ thus further enhances its financial structure and following this transaction, the average maturity of SUEZ’s gross financial debt will be increased by 2.5 years versus end of September and will reach more than 7.5 years.
The final documentation related to this bond issuance will be available on the AMF website.
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This press release does not constitute an offer of, or an invitation to purchase or subscribe for, any securities in the United States or in any other country. The bonds cannot be offered or sold in the United States of America unless they are registered or exempt from registration under the U.S. Securities Act of 1933 (amended). Suez does not intend to register all or part of the offering in the United States or to conduct a public offering in the United States.