Wednesday 9 August 2023

Masdar lists debut $750m green bond on London Stock Exchange

Masdar lists debut $750m green bond on London Stock Exchange

UAE's clean energy giant Masdar has celebrated its debut $750 million (£588m) green bond on the London Stock Exchange's (LSE) International Securities Market (ISM) this week.

It completed the 10-year green bond offering on the LSE on 19th July 2023, which was more than five times oversubscribed with “exceptionally strong appetite” from investors.

This bond is the first part of a programme to raise up to $3 billion (£2.4bn) to meet Masdar's equity funding commitments on new renewable energy projects as it seeks to grow its global portfolio to 100GW of capacity by 2030.

Masdar has developed more than 20GW of renewable energy capacity across more than 40 countries and has invested more than $30 billion (£23.5bn) so far.

Proceeds from its bond offerings will be deployed towards the “greenest” projects in the renewables sector, namely solar, wind, renewable power transmission and distribution infrastructure and battery storage assets.

Dr Sultan Al Jaber, UAE Minister of Industry and Advanced Technology, COP28 President-Designate and Chairman of Masdar said: “This is a defining moment for Masdar and climate finance and we are delighted to stand on the world stage at this historic market opening ceremony. The demand for green bonds is extremely high and will enable investment in renewable energy projects, many of which will be in developing economies and climate-vulnerable countries. But there is more to do if we are to unlock finance for the energy transition to support the tripling of global renewable energy capacity by 2030.

“The successful issuance of Masdar green bonds will support this aim, by helping to provide funding towards renewable energy projects where they are needed most.”

The company also plans a secondary listing of its green bond offering later this year on the Abu Dhabi Securities Exchange (ADX).

Written by

Bruna Pinhoni

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