Enel has recently issued a new "green" bond, targeting investors interested in energy conservation and environmental protection.
The operation led to the placement of a 1.25 billion bond (compared to a 500 million assumption) against a 3 billion request. With a 1.137% coupon, it will expire in 2024: this means that Enel will be guaranteed a greater convenience, since profits for traditional bonds on the market today range between 4% and 5%.
Enel’s first ‘green’ bond is one of the projects announced in London last November, during the presentation of the company’s business plan: it is part of the bond programme in the renewable and ‘green’ sector, whose aim is the allocation of 12,4 billion in the sector, in order to refinance the emissions with an equivalent total value.
As in the past three years, marked by significant savings, Enel aims to maintain the same trend in the next three years, reissuing bonds and taking advantage of the low rates, in order to replace in the future traditional bonds with the new, cheaper green bonds. The profits of the bonds will be used not only to refinance the expiring bonds, but also to finance renewable technology projects in areas such as Indonesia, South Africa and South America.
Enel editorial staff