Kojamo plc Successfully Prices EUR 500 Million Green Bond Issuance
Kojamo plc has announced a significant milestone with the successful pricing of a EUR 500,000,000 green bond under its Euro Medium Term Note (EMTN) programme. This financial move is aimed at promoting sustainability and enhancing the company’s portfolio in green finance.
Details of the Green Bond
The green bond issued by Kojamo carries a maturity of seven years, set to mature in 2032. With an attractive coupon rate of 3.875%, this bond marks a pivotal point in Kojamo’s efforts to integrate environmental sustainability into its financing activities. This is the third issuance of green bonds by the company, reflecting its ongoing commitment to sustainable investment practices.
Regulatory Framework and Trading Admission
The recently issued green notes are part of Kojamo's broader EUR 2,500,000,000 EMTN programme. The company plans to seek admission for these notes on the regulated market of Euronext Dublin, aiming for an official listing. Moody's has granted a Baa2 rating to the EMTN programme, showcasing its credibility and reliability within the investment community.
Use of Proceeds
Funds raised through this green bond issuance will primarily support projects that align with Kojamo's Green Finance Framework. This framework outlines the company's strategy to finance or refinance green projects focused on sustainable and energy-efficient buildings, renewable energy initiatives, clean transportation, and enhanced waste management systems.
Focus on Sustainability
Kojamo's initiatives under the Green Finance Framework are designed to promote a transition towards a low-carbon economy. By aligning its financing with sustainability goals, Kojamo is not only enhancing its investment value but also contributing to the broader societal shift towards environmental responsibility.
Strengthening the Debt Maturity Profile
According to Erik Hjelt, interim CEO of Kojamo, the successful bond issuance is a testament to strong market demand and investor confidence. Hjelt noted that this bond significantly extends the company's debt maturity profile and mitigates refinancing risks. Importantly, the proceeds will also contribute to the repurchase of older notes maturing in 2026.
Collaboration with Leading Financial Institutions
The issuance was facilitated by a consortium of reputable financial institutions, including Goldman Sachs International, Nordea Bank Abp, OP Corporate Bank plc, SEB, and Swedbank AB (publ), who acted as joint lead managers for this successful market entry.
Kojamo's Commitment to Urban Living
Kojamo is recognized as Finland's leading private residential real estate company and a significant investor in the housing sector. The company's mission revolves around creating enhanced urban living experiences. Through its Lumo brand, Kojamo offers environmentally friendly housing options that cater to city dwellers seeking quality and convenience.
Innovative Property Development
As a frontrunner in the property market, Kojamo is dedicated to increasing the value of its investment properties by both developing new projects and enhancing existing portfolios. The company's proactive approach positions it at the forefront of the evolving housing landscape.
Contact Information for Inquiries
For more information, stakeholders and investors may reach out to Erik Hjelt, Interim CEO, at Kojamo plc by calling +358 20 508 3225 or via email at erik.hjelt@kojamo.fi. Additionally, Niina Saarto, Director of Treasury & Investor Relations, can be contacted at +358 20 508 3283 or at niina.saarto@kojamo.fi.
Frequently Asked Questions
What is the purpose of Kojamo's green bond issuance?
The green bond aims to finance or refinance projects that promote sustainability, including energy-efficient buildings and renewable energy initiatives.
What are the key features of the EUR 500 million bond?
The bond has a maturity of seven years, a fixed annual coupon of 3.875%, and is part of Kojamo's broader EMTN programme.
Who acted as lead managers for this bond issuance?
Goldman Sachs International, Nordea Bank Abp, OP Corporate Bank plc, SEB, and Swedbank AB (publ) were the joint lead managers.
How does the green bond align with Kojamo's sustainability goals?
The proceeds will support projects under Kojamo's Green Finance Framework, which focuses on transitioning to a sustainable and low-carbon economy.
How can investors get more information?
Investors can contact Kojamo’s interim CEO, Erik Hjelt, or the Director of Treasury & Investor Relations, Niina Saarto, using the provided contact information.
