UniCredit Bank Austria successfully places 750 million Euro Green Covered Bond
- UniCredit Bank Austria has successfully issued its second Green Mortgage Covered Bond under UniCredit's Sustainability Bond Framework
- After the first green issuance of € 500 million in the previous year, € 750 million have now been placed
- Bond proceeds are designated for financing or refinancing green buildings
UniCredit Bank Austria has successfully placed a second Green Covered Bond on the capital market, thereby continuing its sustainability strategy. UniCredit Bank Austria's Green Covered Bond with a total volume of € 750 million and a maturity of 6.6 years was issued under UniCredit Group's Sustainability Bond Framework. The bond is targeted at institutional investors. UniCredit Bank Austria has already placed its first green bond in the volume of € 500 million in May 2022.
The bookbuilding process reached a total amount of just over one billion euros. The order book was thus oversubscribed by around 300 million euros. The interest rate was set at 26 basis points above the euro mid-swap rate.
Robert Zadrazil, CEO of UniCredit Bank Austria: “By issuing this Green Covered Bond, we are again sending a clear signal of how central sustainability is to our corporate strategy. The commitment to the energy transition and sustainable business practices is bringing about a fundamental change in society and influencing every single area of our lives. As a bank, we have a central role to play in the transformation towards a decarbonized economy. Channelling the flow of funds into promising, climate-friendly industries, activities and initiatives is and will be the central joint challenge of the entire economy.”
Philipp Gamauf, CFO of UniCredit Bank Austria: “The issue of UniCredit Bank Austria's second green bond, this time in the amount of € 750 million, was another success on the international capital market. We are very pleased about the demand, this issue shows how much international investors are convinced of UniCredit Bank Austria's sustainable course and how high the continuing interest in sustainable financial products is.”
The green bond has an Aaa rating from Moodys and was issued to institutional investors. The investor base is composed of 56 investors, with 43 percent from Germany, 18 percent from Austria, 14 percent from Benelux and the remainder well diversified across other countries and regions. The debt securities were distributed across different categories of institutional investors such as banks (66 per cent), asset managers/funds (17 per cent), central banks and official institutions (15 per cent).
The bond proceeds are used for the financing or refinancing of green buildings that are registered in UniCredit Bank Austria’s mortgage cover pool and comply with the eligibility criteria set out in UniCredit’s Sustainability Bond Framework.
The issue underlines UniCredit’s strong commitment to sustainability and the importance of ESG (Environment / Social / Governance) for the Group. The issuance was made under UniCredit Group's Sustainability Bond Framework, which allows UniCredit S.p.A., UniCredit Bank AG, UniCredit Bank Austria and all subsidiaries of the UniCredit Group to issue green, social and sustainable bonds as a recurring part of the UniCredit Group’s funding.
UniCredit was mandated as Sole Green Structurer and CaixaBank, Commerzbank, LBBW, Nordea, Raiffeisen Bank International and UniCredit as Joint Lead Managers.
Enquiries:
UniCredit Bank Austria Media Relations
Franziska Schenker, Tel.: +43 (0) 5 05 05-51417;
Email: franziska.schenker@unicreditgroup.at