ING Bank has played an active role in a new €500 million green bond issuance for NEPI Rockcastle – the largest shopping center developer in Central and Eastern Europe. The funds will be used to refinance NEPI Rockcastle’s sustainable building portfolio and finance energy efficiency projects.
The issue generated massive interest from investors, especially those dedicated to sustainability projects. As a result, the offer was oversubscribed by almost 3 times reaching more than €1.5 billion, reflecting investors’ confidence in the group’s business model and prudent financial strategy. The bonds have a maturity of 8 years and a fixed annual coupon of 2%.
“We are pleased to be working again with NEPI Rockcastle, with whom we have committed to the objective of a more sustainable economy. In 2020, we structured the green financing program and facilitated the first green bond for NEPI Rockcastle, worth €500 million. And in 2021, we transformed the €100 million loan of the group into a green one by incorporating ESG (environmental, social, and governance) components.
At ING, we aim to be the bank for sustainability and we believe that we need progress, not perfection, and we support every step our customers take to reduce the impact of climate change,” says Claudiu Sabău, Head of Clients, Wholesale Banking Division, ING Bank Romania.
The green bond issuance was arranged by a consortium of banks: ING Bank, Citi, J.P. Morgan, Société Générale, and UniCredit.
Globally, ING is a leader in the sustainable bond segment, with nearly 190 sustainability deals in the first nine months of 2021. Last year, ING joined the Net-Zero banking alliance, to reduce greenhouse gas emissions and achieve net-zero emissions by 2050. Through its Terra methodology, ING continues its strategy of identifying opportunities for green financing and supporting its clients’ sustainable goals through dedicated financial solutions, knowledge, and expertise.
At the same time, according to the ranking conducted by the research company Corporate Knights in January 2022, ING ranks 61st in the top of 100 most sustainable corporations in the world, out of almost 7000 analyzed.
Increased investors’ interest in sustainable projects
According to a survey released last year by ING, 72% of investors said they have a greater appetite for green portfolios and want more transparency from companies about their sustainability goals. Tackling climate change is at the top of sustainability priorities for more than half of the institutional investors who participated in the ING survey.