Atrium European Real Estate has raised €350m via a hybrid green bond issue to help fund the company’s move into residential assets.
Atrium said the notes, which attracted strong demand with an order book of €1.2bn and were placed with a broad range of European and international institutional debt investors. The investors include those investors with a specific focus on ESG/sustainable investment portfolios, Atrium said.
Atrium, known for owning shopping centres and retail real estate in Central Europe, said the net proceeds will be used to “finance or refinance eligible projects and/or assets including residential for rent as defined in Atrium’s green financing framework”.
Liad Barzilai, CEO of Atrium Group, said: “Atrium’s successful first hybrid green bond issuance, which was more than three times oversubscribed, is a thorough endorsement of our ongoing strategy to diversify into residential for rent in our key geographies of Poland and the Czech Republic, as well as to the appeal of our ongoing green financing framework to investors.
“The strong demand and attractive pricing enabled us to increase the aggregated amount to €350m and the issuance will allow us to accelerate both our move into residential and our ESG strategy, whilst further strengthening the company’s investment-grade credentials following Moody’s rerating of Atrium to Baa3 stable last week.”
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