Major European investors back France green bond ‘milestone’
01/31/2017 Since 4 years
France has attracted major institutional backers for its inaugural green bond, launched yesterday, including Dutch and French pension investors. Dutch asset managers APG, PGGM, and MN subscribed for a combined amount of €967m, with French pension funds ERAFP and Ircantec also among those known to have participated in the issuance.
The deal was a €7bn 22-year green bond issued by Agence France Trésor (AFT), the government office managing French sovereign debt. The bond will pay a coupon of 1.75% and was priced at 100.162 for an issue yield of 1.741%.
It was the first green bond to be issued by a euro-zone sovereign. In December last year, Poland became the first European sovereign to issue a green bond, having priced a €750m five-year deal. It was also the largest and longest-dated green bond to have been issued so far, according to AFT. France’s green bond issue was more than three times oversubscribed, drawing €23bn of demand.
This post is also available in:
Green bond market expected to take off in Argentina
The Argentine thematic bond market is looking for its platform to take off in Argentina. This is a relatively new niche in the country and in the region that requires certification under international standards, and h...
Argentina’s CNV calls for consultation to create special regime focused on sustainable investment
Argentina's National Securities Commission (CNV) has approved the opening of a public consultation on the creation of a new special regime for sustainable collective investment instruments. This is part of the consoli...
Asset owners set and commit to report on 2025 targets to support 2050 net-zero emissions
Thirty-three of the world’s largest investors have committed to setting and reporting on 2025 targets to support the transition to net-zero greenhouse gas emissions by 2050. The final Net-Zero Asset Owner Alliance’s I...