Cassa Depositi And Loans (CDP) launches its second Green emission, the first created according to the new CDP Green, Social and Sustainability Bond Framework, for a total of 500 million Euro with expiry at 8 years, intended exclusively for institutional investors. The title has a gross annual fixed coupon of 3.25% and deadline in June 2033.
This operation follows the 2023 inaugural Green Bond and adds to the nine sustainable bonds issued since 2017 in social formats and sustainability, consolidating the CDP position in the ESG bond market.
The details of the bond
And orders have already achieved excellent results, equal to almost 2.5 billion euro, Five times the offer, from over 100 investors, with a significant international component of 73%. A strong interest from European institutions and a marked participation of investors focused on ESG criteria has also been recorded.
The proceeds of the issue will be intended for projects with positive environmental impacts, including infrastructure investments in the sectors of renewable energy and sustainable mobility, as well as interventions to support companies aimed at energy efficiency and promotion of the circular economy.
As CDP explains, this issue represents a significant step in promoting technological innovation, also in the field of sustainable finance:
In fact, blockchain technology will be used to tokenize the reporting process, offering investors a further way to verify the allocation of the proceeds of the operation and the related impacts, guaranteeing even greater transparency, integrity and reliability of the information provided. In this way, CDP aims to strengthen the trust of operators in sustainable investment choices, supporting them in achieving the reporting objectives in the ESG field.
Which SDG objectives satisfies
The issue represents the debut of a CDP title dedicated to institutional investors on the electronic market of the Borsa Italiana Bonds (MOT). The Green Bond 2025 is also the first to be issued under the CDP Green, Social and Sustainability Bond Framework, updated in December 2023, and aligned with the Green Bond Principles published by the International Capital Market Association (ICMA).
The operation is consistent with the Sustainable development objectives of the United Nations, in particular with the SDGS 7, 9, 11, 12 and 13, respectively: “Clean and accessible energy”, “Industry, innovation and infrastructure”, “Sustainable cities and communities”, “Consumption and Production Responsible” and “Fight against climate change”.
Is it convenient to take it?
For investors, this new Green Bond can be an interesting tool. Recall that Cassa Depositi e Prestiti is controlled for about 83% by the Ministry of Economy and Finance, while the remaining share is held by the banking foundations. For this reason, its bonds are considered comparable to BTPs in terms of credit reliability. In fact, CDP acts as an entity that operates on behalf of the government in the national industrial context. As a result, the obligations issued enjoy the same subsidized taxation as 12.5%.
Thanks to this tax advantage, the 8 -year -old Green Bond CDP offers a performance substantially comparable to that of a Btp to 10 years.
The tool is better to those who want to use liquidity on a medium-long time horizon, aiming for an interesting performance without exposing themselves to excessive risks. In fact, a coupon around 3.50% gross translates into a net yield greater than 3.05%, a more than acceptable level in a context of low inflation.
