Masdar has successfully raised $1 billion through its second green bond issuance. This follows a previous successful bond issuance of $750 million on the London Stock Exchange’s International Securities Market in 2023. Proceeds will be used solely for investment in new greenfield renewable energy projects according to Masdar’s Green Finance Framework. This bond issuance includes two tranches of $500 million each, with tenors of 5 and 10 years and coupons of 4.875 per cent and 5.25 per cent, respectively.
Furthermore, the order book reached $4.6 billion, resulting in an oversubscription of 4.6 times. The allocation was finalised with approximately 70 per cent going to international investors and 30 per cent to MENA investors. Joint lead managers and bookrunners included First Abu Dhabi Bank, Abu Dhabi Commercial Bank, Citibank, HSBC, Standard Chartered, Credit Agricole CIB, Natixis, and MUFG.
In June 2024, Masdar inked a definitive agreement with GEK TERNA SA and other shareholders of TERNA ENERGY SA to buy 67 per cent of the company’s outstanding shares at completion of the transaction. The transaction is subject to regulatory approvals and other closing conditions.
