Strong response with orders from investors above € 1.7 bn, which implies an oversubscription ratio of almost 2.6x
Milan, 12 September 2022 - A2A (Moody’s Baa2/negative - Standard & Poors BBB/negative) successfully launched a new Green Bond with a size of € 650 mln and maturity 8 years.
The new transaction received a strong investor response: indeed, the total order book amounted above € 1.7 bn, implying an oversubscription ratio of almost 2.6x. The new Green Bond, which is addressed to institutional investors only and has been issued under the Euro Medium Term Notes Programme, is based on A2A’s Sustainable Finance Framework.
Notes have an issue price of 99.677% and a reoffer yield equal to 4.549%. Coupon has been set at 4.500% whilst the final spread over the reference mid swap rate is equal to 215bps.
"The issuance of this bond is part of the financial strategy related to 2022-2030 Strategic Plan and allows us to pre fund the Group's Green investments envisaged for the biennium 2023-2024" – commented Luca Moroni, CFO of A2A – “In addition, with this new Green Bond we reach an even more ambitious share of sustainable debt anticipating the targets set out in the business plan."
The net proceeds from the issuance will be used to finance and/or refinance strategic projects in the fields of circular economy and energy transition: the so-called Eligible Green Projects mainly related to renewable energy, transmission and distribution networks, energy efficiency, and pollution prevention and control, as defined in A2A’s Sustainable Finance Framework.
A2A pre-emptively assessed the alignment of those green projects to the EU Taxonomy (with particular reference to the substantial contribution to the environmental objective of 'Climate Change Mitigation' and 'Climate Change Adaptation').
In addition, A2A commits to disclose, as part of its allocation report, prepared in accordance with the Sustainable Finance Framework, also the actual amount of investments aligned to the EU Taxonomy that have been financed through the Green Bond.
The notes are subject to the English Law and will be listed on the Luxembourg Stock Exchange from the 19th of September 2022 once all the relevant documentation will be signed.
BNP Paribas and Mediobanca acted as Global Coordinators whilst BNP Paribas, Citigroup, Crédit Agricole CIB, Goldman Sachs International, IMI-Intesa Sanpaolo, JP Morgan, Mediobanca, Santander, and UniCredit acted as Joint Bookrunners.
A2A is assisted by the legal counsel Simmons & Simmons whilst the Joint Bookrunners by Allen & Overy.
Contacts:
Giuseppe Mariano
Media Relations, Social Networking and Web Responsabile
Silvia Merlo – Silvia Onni
Ufficio stampa
ufficiostampa@a2a.eu
Tel. [+39] 02 7720.4583
A2A – Investor Relations
ir@a2a.eu
Tel. [+39] 02 7720.3974
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