The UAE's renewable energy company Masdar is deploying green finance on an “industrial scale” and setting global standards in the sphere, says its finance chief.
The United Arab Emirates’ renewable energy company Masdar is deploying green finance on an "industrial scale" and setting global standards in the sphere, according to its finance chief., Mazin Khan, chief financial officer of Masdar , said: "For us this industrial scale deployment of green finance manifests itself via three main sources of capital.
"The first of these is our own capital investment via our reserves, the second is non-recourse project financing of our projects that are highly bankable, and the third is green bonds, a financial instrument we have tremendous belief in."Khan revealed that in the past three years Masdar has issued almost $3 billion worth of green bonds. In its, the company raised $1 billion. The bond was issued in two equal tranches of $500 million, with tenors of 5 and 10 years and coupons of 4.875% and 5.375% respectively. The issuance attracted significant oversubscription with a peak orderbook of $6.6 billion, and strong demand from both regional and international investors, including several of the world’s dedicated green funds. The move followed issuances of $750 million and $1 billion worth of green bonds in 2023 and 2024 respectively.Issuing In A Competitive Green Bond Marketare no longer considered unusual, and the field for issuances of 5 to 10-year tenors is highly competitive. We embrace the challenge of having to differentiate ourselves in a very competitive field wholeheartedly. "One of the ways, we do so at Masdar - given our growth profile - is flagging our devised in-house Green Finance Framework which stipulates that every single dollar we raise from green bonds goes towards funding a new renewable energy project, and not an existing one on our portfolio."Khan said this makes it stand out as a fresh investment opportunity for reducing greenhouse gases and carbon emissions, and supportive of energy transformation across the globe, especially in emerging markets and developing economies. "So, that perhaps differentiates us from other issuers of green paper where the proceeds of their raise may go to already existing renewables projects. We market these effectively as ‘dark green bonds,’ giving investors complete transparency and confidence about how their money is being spent." Its Framework has also expanded the eligibility criteria beyond Masdar’s traditional strengths in solar and wind power to green hydrogen and standalone battery storage projects. "Overall, I think we offer some very powerful differentiators. Of course, investors themselves can be the judge of that. All I can say is that our last issuance was nearly seven times oversubscribed. That’s proof of investors’ faith in our commitment to getting it right when it comes to deploying green finance as a vehicle for sustainable change."
Mazin Khan CFO Masdar Masdar Green Bonds UAE Renewables Target Green Bond News Bond Market News ESG Sustainable Finance Sustainable Investment
United States Latest News, United States Headlines
Similar News:You can also read news stories similar to this one that we have collected from other news sources.
California Went After The Drivers, Now It’s Coming For Ghost Plate Sellers TooCalifornia’s AB 1085 bans license plate tints and flippers while raising fines for sellers
Read more »
Chinese Automakers Gain Global Market Share, Raising ConcernsChinese automakers are experiencing increasing success in the global market with their affordable, stylish, and technologically advanced electric vehicles, prompting concerns from competitors, particularly in the U.S. and potentially impacting trade relationships.
Read more »
Cuban immigrant’s death in Texas detention facility ruled a homicide, raising scrutinyWASHINGTON (AP) — A Cuban immigrant died in a Texas immigration detention facility earlier this month during an altercation with guards, and the local medical e
Read more »
This Near-Perfect 4-Season Sitcom Was Built on the Wildest Story EverThe Chance family staring ahead in Raising Hope
Read more »
Trump Intensifies Focus on Canada's Defense Capabilities, Raising Concerns About Arctic VulnerabilityPresident Trump is privately expressing concerns about Canada's ability to defend its borders against potential threats from Russia and China in the Arctic, leading to internal discussions about a broader Arctic strategy and potential agreements to fortify Canada's northern border. This follows Trump's actions aimed at expanding U.S. power in the Western Hemisphere, including interventions in Venezuela and threats to other countries.
Read more »
Lamar Odom Arrested in Las Vegas, Raising Concerns About AddictionFormer NBA star Lamar Odom was arrested in Las Vegas on January 17th on multiple charges including DUI and speeding. The arrest comes after years of Odom openly discussing his struggles with addiction, including a near-fatal overdose in 2015. This incident raises fresh concerns about his ongoing battle with substance abuse.
Read more »