Abu Dhabi’s Mubadala Investment Company has issued its first-ever green bond at a value of $750 million with a tenor of 10.5 years, at a yield of 6.03% and coupon at 5.87%.
The issuance witnessed strong demand from the market, as the order books peaked at more than $6 billion with robust demand from local, European, Asian, and American accounts.
Oversubscription peaked at 9.1x with one of the most oversubscribed issuances during 2023.
The transaction further diversified Mubadala’s debt investors base by bringing in new investors, as a large proportion of demand came from new investors who had never invested in Mubadala’s bonds.
Meanwhile, the receipts will be invested in categories aligned with the Green Financing Network.
This bond issuance highlights Mubadala’s commitment to responsible investing ahead of COP28 later this year.
Carlos Obeid, Chief Financial Officer of Mubadala Investment Company, said: “Responsible Investing has been at the core of Mubadala’s operating model since we were established, and remains central to our investment approach today.”
“Mubadala partners with governments, businesses, investment peers, and industry leaders around the world to help find solutions to global challenges,” Obeid added.
“The depth, diversity, and strength of the orderbook for our first Green Bond further validate our ability to tap debt markets across economic cycles and in various economic conditions.”
