AXA IM Alts has raised €800m in the debut green bond issue for its flagship European logistics fund.
The manager said the first bond issue for the AXA Logistics Europe Master fund was oversubscribed as it received commitments from a broad range of 136 European and international institutional investors.
Launched in 2019, the AXA Logistics Europe fund has assembled a portfolio of around 130 assets located across key logistics hubs in 11 European countries.
The fund aims to continue to pursue its growth strategy, with the acquisition and development of sustainable logistics centres, with energy-efficient premises, incorporating wellbeing facilities for staff, the manager said.
AXA IM Alts said the green bond ”aligns with its wider ambition of seeking to affect positive changes in society” through its investments and follows the issuance of two green bonds by AXA Core Europe earlier this year, with the second tranche pricing successfully last month.
Timothé Rauly, the global CIO, head of fund management at AXA IM Alts, said: “The issuance of AXA Logistics Europe’s first green bond is a significant milestone for the Fund and testament to the quality of the fund’s asset base, our strong track record in ESG investing, as well as the continued demand for green investment opportunities from institutions.
“The shift in financing strategy to unsecured debt will allow the repayment of existing mortgage loans, with the positive change in the long-term capital structure of the Fund allowing for further growth and continued market-leading returns.”
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