December 11 (Renewables Now) - Swedish airport operator Swedavia AB has issued a SEK-1-billion (USD 105.9m/EUR 95.6m) green bond, seeking to become carbon-neutral by next year, it said on Tuesday.
State-owned Swedavia, which operates 10 of Sweden’s busiest airports, intends to use the fresh funds to invest in projects supporting its long-term strategy and are in line with the United Nations’ sustainable development targets and the Paris Agreement’s long-term temperature goal. More specifically, part of the proceeds will go to buy renewable fuels and to electrify certain ground vehicles and equipment at Swedavia’s airports.
The green bond deal attracted “great” investor interest, placing the company among one of the first airport operators in the world to issue such securities. The unsecured bond matures in 5.25 years and has a fixed interest rate of 0.89%. Swedavia plans to apply and add the securities to Nasdaq Stockholm’s corporate bond list.
SEB and Swedbank were joint lead managers of the sale.
“Swedavia’s ambition is to be a world leader in developing airports with the least possible climate impact,” said president and CEO Jonas Abrahamsson.
(SEK 1.0 = USD 0.106/EUR 0.096)