Munich Re issues third green bond
Munich Re’s placed its first green subordinated bond, which has a volume of $1. The reinsurance giant said that the bond underlined its commitment to the Paris Climate Agreement while supporting its strategic goal of tackling climate change through investment in energy efficiency and renewable energies. Christoph Jurecka, CFO at Munich Re, said: “By successfully placing its first subordinated bond on the US market, Munich Re has impressively demonstrated its attractiveness for new groups of investors.
Projects included under the green bond, said Munich Re in a statement, include investments of equity and debt in renewable energy, energy efficiency, clean transportation, green buildings, sustainable water and wastewater management, the eco-efficient and/or circular economy, and the environmentally sustainable management of natural resources and land. This latest green bond launch from Munich Re follows similar issuances in 2020 and 2021. In 2020, the firm launched its first bond, that one having a volume of €1.
The firm followed this in September 2021 with a second bond, this time totalling €1bn, with a coupon of 1% and a maturity date of 2042. All this came after a statement in February 2020 saying that Munich Re had joined the Net-Zero Asset Owner Alliance, an international group of institutional investors that have committed to decarbonise their portfolios to net-zero emissions by 2050.
Read full article at Reinsurance News