Green and Social Bonds and Loans

  • InfraVia injects SDG into equity bridge

    InfraVia injects SDG into equity bridge

    Infravia Capital Partners, the French private equity firm, has amended an equity bridge facility to make it align with the UN’s Sustainable Development Goals. Margins are tied to the ESG performance of its fund’s investments, following the lead of EQT and Eurazeo.

  • Caffil to issue social covered bond private placements

    Caffil to issue social covered bond private placements

    Caffil plans to issue privately placed covered bonds from its social framework, which secures financing for French hospitals. The longer maturities on offer will diversify from those targeted in its benchmark deals and more closely match its loan liabilities, as well as fulfilling investor needs.

  • Amaggi hits Lat Am sweet spot with sustainability bond

    Amaggi hits Lat Am sweet spot with sustainability bond

    Bond bankers said that Brazilian agribusiness company André Maggi (Amaggi) was the ideal credit for the market’s current tastes as the borrower notched a hefty oversubscription and tightening for a debut sustainability bond on Thursday. A tier two deal from Brazilian lender Banrisul confirmed that high yield appetite in Lat Am remained robust.

  • Buyers queue down the aisle for Tesco SLB

    Buyers queue down the aisle for Tesco SLB

    Tesco, the UK grocer, made a storming debut in the nascent sustainability-linked bond market on Wednesday, encouraging bankers who already expect corporate issuance using the novel structure to rocket this year.

  • Swissie investors target quality not quantity

    Swissie investors target quality not quantity

    Swiss franc bond investors are pursuing high quality issues, with Münchener Hypothekenbank harnessing this demand to price a tap of its green preferred senior bond 12bp through fair value this week.

  • HSBC team to target MENAT ESG activity

    HSBC team to target MENAT ESG activity

    HSBC has created a dedicated sustainable and transition finance team for the Middle East, North Africa and Turkey, as the region tries to make its economies more sustainable.

  • Cades brings first ever SSA sterling social bond

    Cades brings first ever SSA sterling social bond

    Caisse d’Amortissement de la Dette Sociale (Cades), the agency responsible for financing and amortising French social security debt, printed a £1.5bn social bond on Wednesday — the first ever deal in that currency and format from a public sector borrower.

  • Huge demand for SLB from ambitiously green Tesco

    Huge demand for SLB from ambitiously green Tesco

    Tesco, the UK grocer, made a storming debut in the sustainability-linked bond market on Wednesday, encouraging bankers who already expect corporate issuance using the novel structure to rocket this year.

  • Flender financing to set ESG precedent for lagging levfin market

    Flender financing to set ESG precedent for lagging levfin market

    Financing for Carlyle’s purchase of Flender, a turbine gearbox manufacturer, could set a precedent for leveraged finance, which has lagged behind other debt markets in adopting instruments linked to environmental, social and governance conditions. Other issuers are sure to follow, but the market may have to solve other challenges before this can become a market standard.

  • SK Battery jolts market with $1bn green bond

    SK Battery jolts market with $1bn green bond

    SK Battery America, a subsidiary of South Korea's SK Innovation Co, found outstanding response for its green dollar bond on Tuesday. The firm was able to tighten pricing by 45bp, with the notes trading even tighter in the secondary market.

  • Tesco readies SLB to fund multi-bond buy-back

    Tesco readies SLB to fund multi-bond buy-back

    Tesco has mandated banks for a debut sustainability-linked bond (SLB) from its freshly printed framework. The UK supermarket chain also joins the growing ranks of issuers taking advantage of low interest rates by launching a simultaneous liability management exercise.

  • Sovcombank goes for rare social bond

    Sovcombank goes for rare social bond

    Sovcombank, one of Russia's largest private banks, this week raised its debut social bond — still a rare format among emerging markets borrowers in the Europe, Middle East and Africa region. The bond follows an ESG loan the bank raised just weeks ago.

  • Motability to issue all future bonds as social

    Motability to issue all future bonds as social

    Motability Operations Group, the UK non-profit company that leases cars to disabled people, will only issue social bonds in future, after successfully using the format for the first time last week.

  • Dawn of Schuldschein debuts as TeamViewer launches ESG deal

    Dawn of Schuldschein debuts as TeamViewer launches ESG deal

    German software company TeamViewer launched an inaugural Schuldschein deal on Monday, with margins linked to its ESG performance. Five new borrowers have entered the Schuldschein market so far this year, almost half as many as appeared throughout the whole of 2020.

  • EU sounds out banks for first SURE deal of 2021

    EU sounds out banks for first SURE deal of 2021

    The European Union has sent banks a request for proposals for its first bond of the year under its Support to Mitigate Unemployment Risks in an Emergency (SURE) funding programme.

  • Corporate social bonds to take off, in varied formats

    Corporate social bonds to take off, in varied formats

    Market participants believe 2021 could be the year when social bonds become established as a more thriving and coherent market, after the breakthrough in volume during 2020, when issuance was swelled by the Covid-19 pandemic.

  • Lat Am storms back with Thursday quartet

    Lat Am storms back with Thursday quartet

    Four heavily oversubscribed Latin American new issues fetched tight pricing on Thursday, dispelling the unease felt at the week’s start and putting the region firmly on track to fulfil the predictions of record primary volumes for a January.

  • Colombia to stay local for green debut, plots govvie ETF, social bond

    Colombia to stay local for green debut, plots govvie ETF, social bond

    Colombia tapped international bond markets for the first time since June this week. But it is the country's domestic bond market — which is 25% owned by foreign investors — that could be in for a particularly notable year, with the sovereign set to turn to pesos for its debut green bond in July. It is also laying the ground for a social bond and a government bond ETF.

  • SURE programme poses questions for CEE DMOs

    SURE programme poses questions for CEE DMOs

    After a record breaking year for sovereign bond issuance in central and eastern Europe, 2021 could be a different story, thanks to the European Union's vast economic support packages that could reduce the need for many CEE countries to tap international bond markets.

  • People news in brief

    People news in brief

    Natixis promotes DCM bankers — Powell quits IFAD job — NatWest Markets makes Peberdy, Donaldson and Manwaring's positions permanent

  • KfW sells South African rand green bond

    KfW sells South African rand green bond

    KfW printed its first green bond in South African rand this week, reflecting the growth in demand for sustainable products outside of core currencies, according to a funding official at the agency.

  • DNB issues most subscribed covered bond

    DNB issues most subscribed covered bond

    DNB Boligkreditt issued a covered bond on Thursday that became its most oversubscribed covered bond ever, equalling the bank’s biggest ever order book. The deal, secured on green mortgages, was priced through its vanilla curve, clearly demonstrating the demand for covered bonds.

  • SK Hynix dollar bonds spark investor rush

    SK Hynix dollar bonds spark investor rush

    SK Hynix was overwhelmed with investor demand for its triple-tranche dollar deal on Wednesday. It raised $2.5bn, but non-stop demand drove the bonds nearly 20bp tighter in the secondary market on Thursday.

  • Motability gets social bonds humming

    Motability gets social bonds humming

    Motability Operations, the UK non-profit company that leases cars and other vehicles to disabled people, won strong demand for its inaugural social bond on Wednesday, lending weight to the argument that the product will become a more prominent part of the capital markets this year.

  • Spain targets €5bn-€8bn green debut in second half of 2021

    Spain targets €5bn-€8bn green debut in second half of 2021

    Spain is planning to issue its hotly anticipated inaugural green bond in the second half of the year through syndication in what will be the first step in the sovereign’s ambition to become a regular green issuer and build out a curve in the format.

  • Sustainability-linked bonds: a win on several counts

    Sustainability-linked bonds: a win on several counts

    With Asia’s sustainability-linked bond (SLB) market thrown wide open with the first transaction, there is a case to be made for the opportunities offered to both issuers and investors by this nascent asset class.

  • City waits for divergence, or maybe equivalence

    City waits for divergence, or maybe equivalence

    Anyone who thought the culmination of a trade deal between the EU and UK would provide a shining ray of clarity for financial services as to the level of market access between the two has been proved wrong. Little progress on regulatory equivalence decisions has been made, and while this points the way towards divergence, it is still unclear how exactly the UK would go about this.

  • Powell quits as IFAD treasurer

    Powell quits as IFAD treasurer

    Ben Powell is resigning from the position as treasurer of the International Fund for Agricultural Development after 15 months in the job.

  • Triple whammy: KDB squeezes price on dollar deal

    Triple whammy: KDB squeezes price on dollar deal

    Korea Development Bank returned to the bond market on Monday with a three-tranche transaction, marketing one of the notes with a green label. Despite pricing its trade at one of the tightest levels seen among the country’s lenders, the borrower still received strong demand.

  • Chinese banks battle for investor attention

    Chinese banks battle for investor attention

    Agricultural Bank of China and Shanghai Pudong Development Bank Co competed for investor orders on Monday. ABC, the bigger of the two and offering a green bond to the market, got more attention, while SPDB faced an uphill battle.

  • Brazilian trio to extend Lat Am ESG surge

    Brazilian trio to extend Lat Am ESG surge

    Six of the 11 Latin American borrowers to have priced or announced new cross-border bonds so far in 2021 have opted to show off their ESG credentials while doing so — either through dedicating the use of proceeds or by issuing in the more novel sustainability-linked format. Brazil is leading the way, with three further mandates on Monday.