Linklaters advises Amprion on its first green hybrid bond issuance of €1bn

Linklaters has advised transmission system operator Amprion GmbH on the issuance of its first green hybrid bonds with a total volume of €1bn. The subordinated bonds were issued in two series of €500m each, with maturities of 30 years.

The proceeds from the issuance will be used to finance sustainable projects related to the expansion and modernization of the transmission grid. The first tranche carries a coupon of 4.250% per annum and has a first call date in 2031. The second tranche has a coupon of 4.750% per annum and a first call date in 2034.

Hybrid bonds represent a new and significant instrument within Amprion’s capital structure. The bonds are each assigned 50% equity credit by the rating agencies Moody’s Ratings (Moody’s) and Fitch Ratings (Fitch), thereby supporting rating relevant financial metrics. The issuance was carried out under the company’s €25bn debt issuance programme.
 

“We are very pleased to have supported Amprion in reaching this important capital markets milestone. The successful green hybrid bond issuance represents a key step in diversifying Amprion’s financing instruments and broadening its international investor base,”

said Dr Alexander Schlee, Partner in the Capital Markets practice at Linklaters.

The Linklaters team was led by Alexander Schlee (Partner, Capital Markets, Frankfurt) and Wolfgang Ettengruber (Counsel). The team also included Martin Rojahn (Counsel), Catrin Retzmann, Tabea Meißner, Tim Westenberger (Associates) and Marlen Klepsch (Senior Transaction Lawyer; all Capital Markets, Frankfurt).

Linklaters frequently advises corporates and investment banks on the placement of hybrid bonds and green bonds. Over the past year, the Capital Markets team led by Alexander Schlee has, among others, advised on hybrid bonds for Lufthansa, RWE and Südzucker, as well as on green hybrid bonds for EnBW and Volkswagen.