FRANKFURT - Citycon Treasury B.V., backed by Finnish real estate giant Citycon Oyj, has launched a EUR 300 million green bond with a five-year maturity, according to an announcement made today. The bond, aimed at supporting environmentally sustainable projects, comes amid a broader market trend towards green financing.
Stabilisation measures for the bond, which carries an initial price talk in the area of 5.7% equivalent over mid-swaps, are being coordinated by Deutsche Bank AG (NYSE:DB), Frankfurt. The bank also stated that a team of stabilisation managers, including Danske Bank (CSE:DANSKE), Deutsche Bank (ETR:DBKGn), Nordea, OP Corporate Bank, SEB, and Swedbank, may engage in transactions to support the market price of the securities during the stabilisation period, which is expected to start today and end no later than January 8, 2025.
The issuance of this green bond aligns with Citycon's commitment to sustainability and follows the growing trend of corporations tapping into the demand for responsible investment options. The bond's proceeds are earmarked for projects that meet environmental criteria, although specific details of these initiatives were not disclosed in the press release statement.
The announcement also clarifies that the securities are not being offered in the United States and are not registered under the U.S. Securities Act of 1933. As such, they may not be sold in the U.S. absent registration or an exemption from registration.
Investors are advised that any stabilisation action, including over-allotment, will be conducted within the confines of applicable laws and rules, and there is no guarantee that such actions will occur. Stabilisation, if it occurs, is intended to provide liquidity and support the market price of the securities.
This financial move reflects Citycon's strategic approach to finance and sustainability and is indicative of the broader market's shift towards green financing solutions. The bond issuance is directed at qualified investors in the UK and EEA who have professional experience in investment matters or are high net worth individuals, as well as those outside the UK and EEA who may legally engage with such an offer.
It's important to note that the information provided is based on a press release statement and is intended for informational purposes only.
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