TenneT Issues EUR 1.25 Billion Green Bond

TenneT Holding B.V. has launched and priced another Green Bond issue of EUR 1.25 billion, with proceeds set to be used for investing in offshore wind.

The green bond is split into a tranche of EUR 500 million, under an 11-year term and a coupon of 0.875%, and EUR 750 million, under a 20-year term and a coupon of 1.500%.

Proceeds will be used to invest in renewable energy projects in the Netherlands and Germany to connect large scale of offshore wind to the onshore electricity grid, TenneT said.

According to the company, the green bond is supported by ABN AMRO, Barclays, HSBC, NatWest Markets and SMBC Nikko.

In the next ten years, TenneT expects to invest EUR 35 billion in offshore and onshore grid connections in the Netherlands and Germany.

In the period up to 2030, the transmission operator anticipates to realize approximately 25GW of connection capacity for offshore wind farms in the Dutch and German parts of the North Sea.