PKN ORLEN issues green Eurobonds worth €500 million

PKN ORLEN completed the book-building process and in May this year will issue 7-year bonds worth €500 million with a coupon of 1.125%. The first benchmark issue of green Eurobonds in the history of the concern and Poland met with great interest from investors. As many as 234 subscriptions were submitted for a total amount of nearly €3 billion. This means that the demand for PKN ORLEN's green bonds exceeded the volume of the planned issue six times.

"We are a modern company that is constantly developing and setting itself ambitious tasks. In accordance with the strategy, we intend to achieve emission neutrality by 2050, therefore we consistently implement the goals of sustainable development, which require investment in billions of billions. By issuing green Eurobonds, we will obtain a stable source of financing investments in renewable sources. energy, including offshore and onshore wind farms, as well as charging infrastructure for electric and hydrogen cars as well as waste recycling installations, we will strengthen our competitive position and meet the expectations of investors, and we are also a precursor of innovative financial solutions, contributing to setting new standards on the domestic and international market," Daniel Obajtek, President of the Management Board of PKN ORLEN, said.

The first €1 billion subscriptions were collected in less than one and a half hours from the start of the process. The exceptionally high interest in the concern's green Eurobonds also translated into a very attractive price level of the bonds offered. During the book-building process, PKN ORLEN reduced the price conditions of the offered securities twice, from the original level of 160-165 basis points, through 135-140 basis points, finally reaching the level of 125 basis points above the Mid-Swap. The price offered under the issue of green Eurobonds is also the lowest in the history of the concern.

(WBJ)