Successful issuance of NOK 500 million unsecured green bonds

Arendals Fossekompani ASA (AFK) has successfully issued NOK 500 million in unsecured green bonds. The bonds have a 7-year tenor and was priced at a fixed coupon of 2.615%.

AFK will use the net proceeds to finance green projects as defined in the AFK green bond framework.

“We are pleased to have successfully issued green bonds at favorable terms, primarily due to a strong financial position and a portfolio dominated by green technology companies,” says Lars Peder Fensli, CFO of Arendals Fossekompani.

In connection with the bond issue, AFK has established a green bond framework, which has received the best possible rating, Dark Green, by Cicero Shades of Green.

“A dark green assessment is not easily achieved. We are pleased to see that Arendals Fossekompani’s green bond framework is aligned with a pathway to a more sustainable future,” says Ingunn Ettestøl, Director of Sustainability at Arendals Fossekompani.

Pareto Securities acted as Sole Manager and Green Bond Advisor.

Read more:
AFK Green Bond Framework
Cicero: Second Opinion on AFK Green Bond Framework