Orsted raises €2bn through green bonds

Danish renewables infrastructure developer Orsted has raised nearly €2bn through a green bond issuance. The bonds include a range of tranches and associated maturities: a €900m fixed-rate tranche will mature in 2031, a £375m (approximately €432m) fixed-rate tranche will mature in 2034 and a £575m (approx. €663m) fixed-rate tranche will mature in 2042. The proceeds will finance the company’s renewable energy infrastructure projects, although Orsted did not disclose the specific projects this would include. Green bonds have emerged as critical financing tools for developers to support their increasingly ambitious objectives: Orsted’s portfolio includes projects of significant scale and cost, including the recently operationalised Hornsea 2, the world’s largest wind farm. Additionally, the company has stated that it will target net-zero carbon emissions from operations and production by 2025 for Scopes 1 and 2 and installed capacity of 50GW by 2030.