(Finance) – A2A has today successfully placed a new Sustainability-Linked Bond of 500 million euros with a duration of 6 years. The issue – reads a note – recorded great interest, receiving orders for 3.5 billion euros, 7 times the amount. The bond, intended for institutional investors and issued under the Euro Medium Term Notes Program, is based on the Group’s Sustainable Finance Framework.
The stock was placed at an issue price of 99.308%, will have a annual yield of 1.622% and a coupon of 1.500%with a spread of 100 basis points over the reference mid swap rate.
The new obligation is linked to the achievement of a sustainability target relating to the installed capacity from renewable sources. A2A, in line with the update of the Group’s Strategic Plan presented in January 2022, intends to reach a share equal to or greater than 3.0 GWh by 2024. This important goal also contributes to the achievement of the SDGs
7 and 13 of the United Nations.
“This Sustainability-Linked Bond confirms the Group’s commitment to achieving results concrete in the energy transitionas foreseen in the update of the Industrial Plan “- he declared Andrea Crenna, CFO of A2A -. The transaction is also part of the Group’s path to increase the share of ESG debt, with a new target of more than 80% by 2030 “.
The placement transaction was handled by Citigroup and Mediobanca as Global Coordinators, and by BBVA, BNP Paribas, Citigroup, Crédit Agricole CIB, IMI-Intesa Sanpaolo, JP Morgan, Mediobanca, Santander, Société Générale and UniCredit as Joint Bookrunners.
A2A was advised by the law firm Orrick and the banks by Allen & Overy.