Press release
Rotterdam, 24 May 2022 – Today Stedin Group successfully issued a €500 million green bond . The proceeds will be invested in expanding and reinforcing the electricity grid to make possible the energy transition. The grid operator previously issued green bonds in 2019 and 2021 and Stedin Group has now issued €1.5 billion of green bonds in total.
The 8-year €500 million green bond has an issue price of 99.318% and a coupon of 2.375% (effective rate of 2.47%). With this issuance, Stedin Group has been able to attract existing but also new ESG investors. The issue has been more than 1.9 times oversubscribed. This contributed to getting financing on attractive terms. The bond is listed on Euronext Amsterdam.
CFO Danny Benima: “The required investments are financed from our (operational) income and also external financing, such as this green bond. Growth of the debt portfolio also increases the need for additional capital. We are calling on the Dutch government, provinces and municipalities in our area of operation which are not shareholders, to participate in Stedin Group. Negotiations with all parties have been ongoing for some time.”
The 8-year €500 million green bond has an issue price of 99.318% and a coupon of 2.375% (effective rate of 2.47%). With this issuance, Stedin Group has been able to attract existing but also new ESG investors. The issue has been more than 1.9 times oversubscribed. This contributed to getting financing on attractive terms. The bond is listed on Euronext Amsterdam.
Investment of €8 billion
Stedin will be investing €8 billion over the next ten years to future-proof the energy grid. This is a condition for the success of the energy transition but also for facilitating the growing economy and housebuilding. At the same time, maintenance will be carried out to keep the grids reliable and safe.CFO Danny Benima: “The required investments are financed from our (operational) income and also external financing, such as this green bond. Growth of the debt portfolio also increases the need for additional capital. We are calling on the Dutch government, provinces and municipalities in our area of operation which are not shareholders, to participate in Stedin Group. Negotiations with all parties have been ongoing for some time.”