Vesteda Issues EUR 500 Million Green Bond
Real estate company Vesteda has issued its fourth green bond, raising €500 million. The funds are earmarked for financing energy-efficient housing.
Vesteda has successfully issued its fourth green bond, raising €500 million through a four-year offering with a 3.75% coupon. The issuance is expected to receive an A rating from Fitch Ratings.
The transaction saw significant investor demand, with a final order book of approximately €7 billion, exceeding the issue size by more than 13 times. More than 200 investors participated in the offering.
Proceeds from the green bond will finance and refinance highly energy-efficient homes. Eligible assets include homes with an EPC A rating, those that have undergone major energy performance improvements, and new constructions exceeding Nearly Zero-Energy Building standards.
Vesteda will provide reports on the allocation of funds, energy savings, and greenhouse gas emission reductions associated with the financed assets. Concurrently, the company launched a tender offer to repurchase €150 million of its May 2027 maturing bond as part of its liability management.
The bond will be listed on Euronext Dublin's Global Exchange Market. ABN AMRO, BNP Paribas, ING, Rabobank, and SMBC served as Joint Bookrunners.