Abu Dhabi Future Energy Company PJSC – Masdar raises USD1 billion green bond

The issuance comprised dual tranches of US$500 million each, with tenors of 5 and 10 years and coupons of 4.875% and 5.25% respectively. There was strong appetite from regional and international investors with the orderbook peaking at US$4.6 billion, an oversubscription of 4.6x. Allocation was finalized with an average split of 70% to international investors and 30% to MENA investors.

The USD1 billion proceeds from the issuance will be deployed to fund Masdar’s equity commitments on new Greenfield projects, several in developing economies, as the company pursues a target portfolio renewable energy capacity of 100GW by 2030.

Highlighting the delivery of its commitments under the company’s Green Finance Framework, Masdar recently published its 2023 Green Finance Report detailing the allocation and environmental impact of its debut green bond. Masdar was supported by Crédit Agricole CIB in the preparation of the Green Finance Report, and the allocation and impact metrics benefit from an independent limited assurance report by Ernst and Young.