Tuesday, 02 January 2024 12:17 GMT

Masdar Prices $600 Million Blue Bonds At Tighter Spread Arabian Post


Date:

(MENAFN- The Arabian Post) clearfix"> Abu Dhabi renewable energy company Masdar has priced its $600 million five-year blue bond at 115 basis points above the comparable US Treasury benchmark, narrowing the spread from initial guidance of around 130 basis points.

The 15-basis-point tightening establishes the final borrowing margin on the dollar-denominated offering, which is structured as senior unsecured debt and is scheduled to mature on 29 October 2031. The securities carry a fixed rate of interest, payable twice a year.

Masdar, formally Abu Dhabi Future Energy Company, is using the transaction to tap international debt markets under its expanded sustainable financing arrangements. Blue bonds are designated for projects connected with sustainable water resources, marine ecosystems and the wider blue economy, rather than general spending without environmental conditions.

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The Arabian Post

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