Sembcorp Industries Limited has issued its first green bond offering to support the company’s renewables portfolio. The total value of the issuance was SGD400 million.
The 2.45 per cent green bonds are due in 2031 and were mainly placed to institutional investors in the Asia-Pacific (APAC), with some participation from Europe. The offering makes Sembcorp the first Singapore-based energy company to issue certified green bonds under the Climate Bonds Standard. Sembcorp will use the net proceeds to finance or refinance new or existing eligible green projects. DBS Bank Limited and United Overseas Bank Limited are the joint lead managers for the issuance.
The company recently unveiled a strategic plan to shift its portfolio by quadrupling its renewable energy capacity from 2.6 GW to 10 GW by 2025. Sembcorp’s renewable energy portfolio consists of wind, solar and energy storage assets in markets.