Caruna will issue an EUR-denominated green bond as the first Nordic Distribution System Operator


14.06.2021 at 13:57
Caruna priced its inaugural Green Bond amounting to EUR 300m with a 7-year maturity. The use of proceeds from the issuance will be used in accordance with the newly established Green Finance Framework for capacity expansion of the grid, cable or overhead line network upgrades, storage and technology and R&D. CICERO has provided a Second-Party Opinion on the framework and rated Caruna’s Green Finance Framework CICERO Medium Green.

Caruna’s transaction marks the first Green EUR-denominated bond transaction from a Nordic Distribution System Operator (DSO). 

“Stakeholders expect companies to play an equally strong role in ensuring sustainable business and growthElectricity distribution companies have a key role to play in the fight against climate change, as increasing the use of renewable energy instead of fossil energy sources is key for achieving Finland's carbon neutrality target by 2035. The establishment of the Green Finance Framework supports Caruna’s strategy”, says Jyrki Tammivuori, Deputy CEO and CFO. 


In connection with the new issue announcement, Caruna offered investors to tender up to EUR 300m of outstanding EUR 500m 1.500 per cent. notes due 2023 for cash. Caruna announced that it had received a total of EUR 316.8m valid tender instructions. Investors were subject to a scaling factor of 96.656 per cent


NatWest Markets and SEB acted as financial advisors for Caruna in the new issue and tender transactions. Additionally, SEB acted as sole advisor for Caruna's Green Finance Framework.


The Green Finance Framework and the Second-Party Opinion can be found in full at: 

Further information:  Jyrki Tammivuori, Deputy CEO and CFO, Caruna Networks Oy, tel. +358 400 472

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