New Green Bond arriving on the market. Places it State Railways and is reserved for institutional investors expiring June 2032, for a nominal amount of 800 millions. The coupon was set at 3.375% with a final spread of 105.1 basic points above the reference mid-down rate. A bond that demonstrates the importance of green themes for the company led by CEO Stefano Donnarumma, since this is the tenth issue of the company’s program.
The details
The title will be listed at Euronext Dublin and for the first time on the MOT (electronic market of Bonda) of Borsa Italiana. The market demand was of 2.3 times the offer with more than one hundred orders from investors, with a strong presence from abroad. The presence of ESG investors was very wide, reaching 88% of the entire placement, while the presence of the Bei also shows among the members, who for the first time has signed a public emission Italian Green corporate.
The issue, explains a note, will be dedicated to the financing of Eligible Green Projects in accordance with the current Green Bond Framework of FS. In particular, the proceeds will be used to finance both maintenance expenses Relating to Trenitalia’s passenger electric trains, both the work on the railway infrastructure for the completion of the Turin-Milan-Napoli high-speed network of RFI.
The company in a note explains:
The success of this operation, in a complex market context, strengthens the interest of the financial community towards the FS group, which is confirmed, to date, as the main corporate issuer in terms of an amount of green bonds issued in Italy.
BNP Paribas, Crédit Agricole Cib, Goldman Sachs International, HSBC, IMI-DECEMA Sanpaolo, Morgan Stanley and Unicredit acted as Joint Bookrunners.
The importance of Green for FS
As already mentioned, the interest of Ferrovie dello Stato regarding the Green Bonds is not new. The one issued in these days is the tenth since 2017 to today; The three launched in 2023 contributed to collecting over 1.5 billion of euros, 500 million of which dedicated to the purchase of over 100 regional trains. Thanks to these Green Bonds, it was thus possible to complete the high speed connection Turin-Milan-Napoli of RFI.
These operations have meant the primacy for the group as a non -financial company for Green titles issued, whose notional value amounts to more than 5.5 billion euros today. Volumes that project FS among the main players of the green transition as a promoter of a sustainable mobility model.
Among the green bonds also that of CDP
Period of Green Bond also for Storage case And Loans (CDP), which in these days is proceeding with the issue of a new Green Bond Senior Usecured with prize performance on the BTP. With a cut of 500 million euros, it is aimed at institutional and professional investors, as the required minimum investment of 100 thousand euros suggests.
The initial duration is 8 years, as it presents a deadline on June 17, 2033. In the start of the placement, the hypothesized return was 33 basis points or 0.33%on the correspondent BTP at 8 years of age in May 2033. Since this closed yesterday the 3.15%negotiations, indicatively the yield offered is around 3.48%.
