AXA raises €500m with first green bond

AXA IM Alts has priced a seven-year €500m green bond. The bond is the first of its kind for AXA CoRE Europe and was assigned a BBB+ rating by S&P Global. It attracted strong demand and was four times oversubscribed. It was placed over 80 European and international investors, paying a coupon of 0.75%. The proceeds will be used to replace a number of existing debt facilities while reducing the fund’s average cost of debt and improving average maturity. Isabelle Scemama, global head of AXA IM Alts, said the green bond was “further indication of our overriding ambition to provide market-leading returns to our clients while at the same time pursuing strategies and investments that allow us to make a positive contribution to society and improve tomorrow”. Timothé Rauly, global head of fund management at AXA IM Alts, added: “This access to the debt capital market will facilitate the growth of the fund and reinforces its access to larger core investments where there is less competition. “Furthermore, we believe the success of the transaction, being four times oversubscribed, is a clear endorsement of the quality of assets in the fund’s portfolio, as well as its investment and ESG strategies.” Goldman Sachs International acted as sole global co-ordinator and bookrunner on the transaction. To send feedback, e-mail emma.rosser@eg.co.uk or tweet @EmmaARosser or @EGPropertyNews