The Latest Green Bond Issue in France.
Akuo Energy, the leading French IPP in renewable energy, recently announced that their most recent green bond issue, which has raised 34.4 million euros.This is the first green bond issued by an independent power producer in France, and the third private placement of bonds carried out by Akuo Energy over the last two years.
Green bonds are a good way for corporation and even individuals to participate in renewable energy development and have a positive impact on the global co2 levels. Companies may choose green bonds as way yo meet their sustainability goals without investing capital directly in alternative forms of energy.
This latest success takes the total amount raised by the Group through corporate bond issues to 84 million euros.A green bond Akuo Energy is the first independent power producer to issue a green bond in France. In accordance with the terms of the Green Bond Principles, the Group has given strict undertakings to its subscribers regarding the manner in which the funds raised will be used, the traceability of the investments carried out and reporting.
Furthermore, as an exclusively “green” group by nature, Akuo Energy will inform its subscribers of the number of tonnes of C02 emissions that their investment has helped avoid, as well as the equivalent number of households powered by the resulting production of green energy.
The proceeds of 34.4 million euros from the bond issue will exclusively be allocated to financing projects developed and operated by Akuo Energy. The third private placement carried out by the Group in the last two years, this bond issue was structured as a EURO PP (Euro Private Placement) listed on the Euro next Paris Marché Libre. It perfectly supplements all the investment tools offered by Akuo Energy to finance its accelerated growth whilst enabling the Group to benefit from increased flexibility.Founded in 2007, Akuo Energy reported annual revenue of 105 million euros in 2014, up +57% on 2013,with a balance sheet of over 1.1 billion euros. Natixis and Octo Finances were the Lead Managers and Book runners for this bond issue.
CMS Bureau Francis Lefebvre was the legal advisor for the operation.Eric Scotto, Chairman of Akuo Energy, says:
The success of this issue not only reflects the pertinence of Akuo Energy’s business model, with a very solid balance sheet after just 8 years in existence, but also confirms that there is now, vis-à-vis mid-caps, a growing appetite among investors to help finance the green economy.We are very pleased about this fact, are delighted to be innovating by becoming the first independent power producer to issue a green bond, and fervently hope that the green bond market will continue to expand. We would like to wholeheartedly thank our subscribers, Natixis and Octo Finances for enabling this operation to be such a success.
Gordon's expertise in the area of industrial energy efficiency and alternative energy. He is an experienced electrical engineer with a Masters degree in Alternative Energy technology. He is the co-founder of several renewable energy media sites including Solar Thermal Magazine.