Eurogrid’s debut green bond to finance German offshore wind connections
Eurogrid GmbH, the parent company of 50Hertz, has issued its debut green bond in the amount of EUR 750 million, which will finance the Ostwind 1 and 2 grid connections in Germany.
The corporate bond with a term of 12 years and an interest rate of 1.113% was issued on the regulated market with the support of BNP Paribas, Rabobank and UniCredit Bank.
The subscribers come from European countries, including Germany, Great Britain, France, the Benelux countries and Scandinavia.
“With the first Green Bond in our company’s history, we are securing part of the necessary investments in the grid infrastructure over the next few years,” said Marco Nix, Chief Financial Officer of 50Hertz.
“In view of the difficult economic environment caused by the Corona pandemic, the financial markets with their great interest in our company show that they have a high level of confidence in our sustainability strategy and investment plans. The transaction is an important cornerstone in driving forward the expansion of our grid and thus the energy transition.”
The operational Ostwind 1 connects the Wikinger and Arkona offshore wind farms via two offshore platforms with the Lubmin substation in the Bay of Greifswald.
50Hertz plans to jointly build two further offshore platforms together with the wind farm operators and three 220 kV AC submarine cable systems.