London Stock Exchange welcomes Barclays PLC to celebrate the listing of its inaugural Green Bond
London Stock Exchange today welcomed Barclays PLC to mark the listing of its inaugural Green Bond. This is a first for the UK market, as it represents the first green bond issued by a UK bank, using UK assets.
The €500m transaction was priced on November 6th, and was well received, attracting a final order book of €1.85bn and eventually pricing at 0.625% with a final maturity date of 2023.
Barclays will allocate the proceeds from this MREL eligible senior unsecured green bond issuance to the financing and refinancing of those Barclays residential mortgages on properties situated in England and Wales which are in the top 15% of the lowest carbon intensive buildings in these countries, based on estimated energy efficiency. Barclays was able to identify these properties thanks to the publication of Energy Performance Certificate (EPC) data by the UK government in bulk form earlier this year.
This issuance has received pre-issuance certification from the Climate Bonds Initiative. The Climate Bonds Certification Scheme allows investors, governments and other stakeholders to prioritise 'low carbon and climate resilient' investments, with confidence that the funds are being used to deliver these outcomes.
Commenting on the issuance, Tushar Morzaria, Group Finance Director, Barclays, said:
"This issuance is an exciting step and complements Barclays’ existing involvement in the well-established green bond market. It will help us diversify our investor base, attracting interest from the growing group of environmental, social and governance (ESG) investors."