(Alliance News) - Hera Spa announced on Friday that it has launched its second sustainability-linked bond and the activation of a new "Sustainability-Linked Revolving Credit Facility," with which the multi-utility will allocate more than EUR1 billion in financing to projects in favor of the green transition.

Specifically, the EUR600 million of the new non-convertible bond is part of the sustainability strategy aimed at decarbonization and plastics recycling, while the new EUR450 million "Sustainability-Linked Revolving Credit Facility" further expands the innovative financial products and instruments adopted by the company, helping to maintain its financial strength.

The total amount of the second sustainability-linked bond, reserved for qualified investors, to be issued under the Hera Group's medium-term bond issue program is EUR600 million, repayable after 10 years.

The new credit line, consistent with the one already issued in 2018, also includes a reward mechanism linked to the achievement of specific environmental objectives. In fact, the same two performance indicators of the sustainability-linked bond were defined in the contract signed with the banks, by virtue of which the multi-utility will be able to benefit from more favorable rates over time.

On Thursday, Hera closed 1.5 percent in the red at EUR2.69 per share.

By Claudia Cavaliere, Alliance News reporter

Comments and questions to redazione@alliancenews.com

Copyright 2023 Alliance News IS Italian Service Ltd. All rights reserved.