Renewable energy – TenneT
TenneT successfully issued its largest ever and first Green triple tranche eurobond transaction.
The Green Bond issue of EUR 1.8 billion is split in three tranches of EUR 650 million (term: 6.5 years, coupon 0.125%), EUR 500 million (term: 10 years, coupon 0.500%) and EUR 650 million (term: 20 years, coupon 1.125%) with the support of 6 active joint bookrunners: BNP Paribas, Deutsche Bank, HSBC, ING Bank, Rabobank and UniCredit.
Proceeds will be used to invest in eligible green power transmission projects in the Netherlands and Germany focused on connecting large-scale offshore wind farms to the onshore electricity grid and enhancing the onshore transmission capacity for renewable energy. Further details on these projects and project selection process is set out in TenneT’s Green Financing Framework dated March 2021
Investors from 20 European countries placed orders of approximately €4bn.
The majority of TenneT’s investments are directly related to the increase in renewable energy sources, such as wind and solar energy.
By 2030 TenneT expects to have realized approximately 28 gigawatt (GW) of connection capacity for offshore wind farms in the Dutch and German parts of the North Sea, transmitting an amount of electricity sufficient to support the energy usage of approximately 28 million households.