Iberdrola completed the closing of its ten-year green bond in euros this Tuesday, issuing a total of €850 million in the European market. The transaction was reported to the National Securities Market Commission (CNMV) to reflect the successful placement and terms of the issue.
The bonds carry a maturity date of July 13, 2033, with an annual coupon of 3.625 percent. The issue price was set at 99.695 percent of the face value, aligning the return with market expectations and the company’s sustainable financing strategy.
According to company data, the issue attracted 142 investors, with allocations distributed across several key regions: France accounted for 34 percent, Germany and Austria for 21 percent, the Benelux area for 17 percent, the United Kingdom for 16 percent, and other European countries representing 12 percent.
This offering, part of Iberdrola’s medium-term bond issuance program, saw a strong preference from ESG-focused investors, comprising 87 percent of the buyers. The move illustrates the company’s ongoing diversification of its investor base and broader demand, which helps stabilize the execution of such issuances amid tightening market conditions.
The Spanish group emphasized the robust demand, with orders exceeding €2,000 million, and noted that the credit spread was fixed at 60 basis points over the relevant reference mid-swap for the decade in question, a level that enabled the coupon of 3.625 percent.
historically, Iberdrola has returned to the European fixed-income market in March and November of the prior year, signaling continued relevance in its debt strategy. With this latest issue, the company highlighted that the reception among investors remained favorable.
Thus, the operation represented Iberdrola’s second public debt issuance of the year, following the company’s results release for the first half and after issuing hybrid bonds in January.
Documents filed with the CNMV show that the guarantor sought an independent assessment from Moody’s Investors Service to certify that the green financing framework underpinning these bonds conforms to the principles established by the International Capital Markets Association.
With this new issue, the leadership of Iberdrola in sustainable finance is reinforced. The company reports more than €50 billion in active financing operations, of which approximately €18.5 billion are green bonds, including this latest operation.
Eight financial institutions participated in the placement: Barclays, Citigroup, Crédit Agricole, Deutsche Bank, Goldman Sachs, Sumitomo Mitsui, JPMorgan Chase, and Unicaja Banco.