Please use another Browser
It looks like you are using a browser that is not fully supported. Please note that there might be constraints on site display and usability. For the best experience we suggest that you download the newest version of a supported browser:
Internet Explorer, Chrome Browser, Firefox Browser, Safari Browser
Continue with the current browser
Please allow JavaScript
This page requires JavaScript in order to be fully functional and displayed correctly. Please enable JavaScript and reload the site.
How to enable JavaScript
Siemens Energy successfully places EUR 1.5 billion Green Bond
NOT FOR RELEASE, PUBLICATION OR DISTRIBUTION (IN WHOLE OR IN PART) IN OR INTO THE UNITED STATES OF AMERICA, AUSTRALIA, CANADA OR JAPAN OR OTHER COUNTRIES WHERE SUCH A PUBLICATION COULD BE UNLAWFUL
NOT FOR RELEASE, PUBLICATION OR DISTRIBUTION (IN WHOLE OR IN PART) IN OR INTO THE UNITED STATES OF AMERICA, AUSTRALIA, CANADA OR JAPAN OR OTHER COUNTRIES WHERE SUCH A PUBLICATION COULD BE UNLAWFUL
Siemens Energy successfully placed its first-ever Green Bond with a nominal value of EUR 1.5 billion today, an important step in the company's efforts toward integrating sustainability more and more into every aspect of its business.
The Green Bond has two tranches: a EUR 750 million tranche at a fixed rate, with a maturity of 3 years, with an annual coupon of 4%, and a EUR 750 million tranche at a fixed rate with a maturity of 6 years, with an annual coupon of 4.25%. The total order book across the two tranches was approximately EUR 5.5 billion.
Proceeds from the Green Bond placement can only be used for projects and activities that meet eligible Environmental, Social and Governance (ESG) criteria. Siemens Energy will use the proceeds from the bond to re-finance existing debt of Siemens Gamesa Renewable Energy (SGRE), a key player in the wind-power business in which Siemens Energy holds a 97.79% majority stake. Portions of the net proceeds may also be used to refinance the acquisition of outstanding shares of Siemens Gamesa by Siemens Energy.
"ESG sits at the core of our strategy, and this is also embedded in our financing actions. Driving sustainability across our own portfolio and operations will drive profitable growth," said Maria Ferraro, CFO of Siemens Energy. "With the successful issuance of our first bond, which meets our Green Bond Framework, I am very pleased to see that the capital markets are confident in our strategy to become the leader in the energy transition."
The issuance is part of Siemens Energy's Green Bond Framework, established in January 2023 to allow the company to further develop its sustainable finance vision. To verify that the framework meets ESG criteria, an industry-standard practice is to commission an independent review, also known as a second party opinion. For this purpose, Siemens Energy obtained a second party opinion from the leading ESG ratings agency, Sustainalytics, which confirmed that Siemens Energy's Green Bond framework is aligned with the International Capital Market Association's (ICMA) Green Bond Principles 2021.
A framework for EU-labeled Green Bonds has been agreed to by the European Union for bonds that meet the requirements of the EU taxonomy for sustainable activities. However, this framework has yet to be formally approved by the EU Parliament and its member states, and as such the label is still unavailable for currently issued bonds.
Siemens Energy is one of the world's leading energy technology companies. The company works with its customers and partners on energy systems for the future, thus supporting the transition to a more sustainable world. With its portfolio of products, solutions and services, Siemens Energy covers almost the entire energy value chain - from power generation and transmission to storage. The portfolio includes conventional and renewable energy technology, such as gas and steam turbines, hybrid power plants operated with hydrogen, and power generators and transformers. More than 50 percent of the portfolio has already been decarbonized. A majority stake in the listed company Siemens Gamesa Renewable Energy (SGRE) makes Siemens Energy a global market leader for renewable energies. An estimated one-sixth of the electricity generated worldwide is based on technologies from Siemens Energy. Siemens Energy employs around 92,000 people worldwide in more than 90 countries and generated revenue of €29 billion in fiscal year 2022.
www.siemens-energy.com.
Read more
SIEMENS ENERGY AG 
