Caffil took advantage of an existing social bond framework to be the first-mover in Covid-19-related covered bonds on Tuesday, tapping into improving conditions to raise €1bn for lending to public hospitals ahead of an anticipated broader rise in French public spending and SFIL group funding.
The Nordic Investment Bank (NIB) last week inaugurated the first dedicated Covid-19 use-of-proceeds framework with a €1bn three year “Response Bond”, moving quickly to support the alleviation of societal and economic impacts of the crisis. Head of funding and IR Jens Hellerup discussed the rapid launch of the quasi-social bond with Sustainabonds.
Landesbank Baden-Württemberg (LBBW) issued the first green senior non-preferred sterling benchmark on 22 January, a £500m five year deal in which a maturing ESG UK investor base considered both LBBW’s green bond and issuer credentials, according to those involved in the deal.
The Royal Bank of Scotland Group issued the first bond from a UK financial institution aligned with the Social Bond Principles on 8 November, a €750m six year non-call five social bond with proceeds earmarked for SME lending in deprived parts of the UK.
NordLB Luxembourg Covered Bond Bank is set to launch the first renewable energy covered bond in the coming fortnight, a €300m five year, and the issuer told Sustainabonds it is confident the uniquely green legislative product will prove a timely addition to the market.
Caffil attracted over €3bn of demand to the first ever green public sector covered bond on Tuesday, a €750m 10 year issue that Philippe Mills, CEO of Caffil parent SFIL, said is “close to the heart” of its mission, with green bonds complementing its social issuance.
DKB sold a four times subscribed €500m five year “blue” social Pfandbrief focused on water and waste water services on Wednesday, with the Eurosystem and SRI investors among those helping the German issuer achieve an “outstanding” deal, according to its head of funding and IR.
Rabobank sold its first green senior non-preferred bond last week, a €750m seven year priced some 3bp through fair value, with the deal’s impressive outcome attributed largely to its green nature. The Dutch cooperative has also sought to make its transaction the first aligned with the latest draft of the EU Green Bond Standard.
Sparebanken Sør Boligkreditt sold its first green covered bond on 17 October, a €500m seven year trade that inaugurates the first green and sustainability bond framework from a Norwegian bank, which takes in social activity in emerging markets, and a new green mortgage highlighted by an official at the issuer.
ING Bank Hipoteczny hopes to launch a debut euro benchmark covered bond in green format in the first half of 2020, after having inaugurated its covered bond programme with an upsized PLN400m green bond, which its CEO said will help move Poland’s housing sector forward in a green direction.
Copyright © 2019 Newtype Media | MH Magazine WordPress Theme by MH Themes