Iberdrola's €750M Green Bond Issuance Breaks New Ground

• Iberdrola raises €750M via green bond, fueling renewable projects and setting a new standard in sustainable finance.

Spanish utility Iberdrola SA has successfully raised EUR 750 million through a green bond issuance to support its renewable energy projects. The ten-year bond, which carries a 3.5% coupon and a credit margin of 110 basis points over midswap, attracted strong investor interest with demand exceeding EUR 3.7 million. Notably, the bond complies with both the EU Green Bond Standard and ICMA's Green Bond Principles, marking Iberdrola as the first company to issue a green bond under both standards.

The issuance, managed by bookrunners including Bank of China, BBVA, and Deutsche Bank, will finance various renewable projects. This transaction enhances Iberdrola's liquidity, which was EUR 20.9 billion as of March, and follows a EUR 400 million green bond issued earlier this year.

How did Iberdrola's green bond issuance impact its renewable energy project financing?

• Strengthened Iberdrola's financial capacity to invest in new renewable energy projects.
  
• Enabled the company to accelerate the development of wind, solar, and hydroelectric projects.
  
• Enhanced investor confidence in Iberdrola's commitment to sustainability and renewable energy.
  
• Provided a benchmark for future green bond issuances in the energy sector.
  
• Supported Iberdrola's strategic goal of increasing its renewable energy capacity.
  
• Contributed to the company's efforts to reduce carbon emissions and transition to a low-carbon economy.
  
• Allowed Iberdrola to diversify its funding sources and reduce reliance on traditional financing.
  
• Positioned Iberdrola as a leader in the green finance market, attracting environmentally conscious investors.
  
• Facilitated the expansion of Iberdrola's renewable energy portfolio across different regions.
• Helped in meeting regulatory and environmental standards for sustainable energy development.