Bank Millennium has concluded the subscription of its inaugural green bonds with a nominal value of 500 million euros. These bonds will be issued under the existing EMTN program as non-privileged senior debt securities with a five-year maturity.
The redemption date of the green bonds will be no later than 5 years following the date of their issuance. However, the bank reserves the right of early redemption after 4 years from the issuance date subject to prevailing regulatory requirements. The bank’s intention is to introduce the bonds to the regulated market operated by the Luxembourg Stock Exchange, where SNP bonds issued by the bank in September 2023 are already listed.
— “The need for sustainable and responsible economic development is undisputable today. At Bank Millennium, we understand the pivotal role of a bank in this regard and consistently implement the provisions of our business strategy, the pillar of which are ESG activities. Actions supporting the sustainable transformation are very important for our stakeholders. We see this among our customers as well as in market analysis and investor expectations. We decided to place bonds worth 500 million euros. In this way, we want to ensure the flow of funds towards green initiatives, which perfectly fit our strategy and meet investor expectations” — said Joao Bras Jorge, President of the Management Board of Bank Millennium.
— “Following the publication of the updated base prospectus approved on 12 September 2024 by the Luxembourg Financial Sector Supervisory Commission (CSSF), we have successfully completed the issuance of our first green bonds. This is another milestone in our strategy to further meet MREL requirements. We are proud that our first green issue has met with significant investor interest, who subscribed for more than five times the number of bonds we offered. We have built a very diversified order book, comprising orders placed by 150 entities” — said Fernando Bicho, Deputy President of the Management Board of Bank Millennium.
The subscription for Bank Millennium’s green bonds was closed on 18 September 2024. Investors showing interest in acquiring these securities declared demand worth over 2.524 billion euros. The reduction rate stood at 80.19%. The bonds will reach 125 entities.
— “As a bank, we consistently strive to increase our commitment to the green transformation of the economy. Green bonds allow for raising capital and investing in new as well as existing projects that benefit the environment. The funds raised from the issuance of green bonds will be used to finance and refinance, in line with the Green Bond Framework criteria, energy-efficient properties or projects related to renewable energy production” — said Magdalena Trzynadlowska, Director of the Sustainable Development Department at Bank Millennium.
The green bonds offer was prepared based on the Green Bond Framework, developed in accordance with the Green Bond Principles (GBP) by the International Capital Market Association (ICMA). The Green Bond Framework as well as the independent external opinion (Second Party Opinion) are available on the bank’s website: www.bankmillennium.pl/o-banku/relacje-inwestorskie/papiery-dluzne#zielone-obligacje.
Source: https://managerplus.pl/pierwsza-emisja-zielonych-obligacji-banku-millennium-23845
