London Stock Exchange welcomes MuniFin
Municipality Finance (MuniFin) has an important role in financing the Finnish public sector. The mission of MuniFin is to ensure the availability of competitive financing for Finnish municipalities and government subsidised housing sector in all market conditions. The company plays a central role in the Finnish society.
MuniFin’s funding is acquired from the international capital markets. Since 2011 MuniFin has been a frequent benchmark issuer in both USD and EUR. The inaugural Green Bond – worth USD 500 million – was well received in the market and the book was oversubscribed within a few hours. The bond will be listed on London Stock Exchange’s Green Bond Segment. Lead managers of the inaugural Green Bond were Bank of America Merrill Lynch, Crédit Agricole, HSBC and SEB.
In 2016, the company started to offer green financing for its customers. Green financing can be granted to projects that have clear and measurable environmentally friendly impacts. Currently the size of the green portfolio is approximately EUR 400 million.
London Stock Exchange Market Open Ceremony will be hosted by LSE’s CEO, Nikhil Rathi and MuniFin will be represented by its President and CEO, Pekka Averio. Other participants will include representatives from MuniFin’s Green Financing customers, The Ministry of the Environment of Finland, Embassy of Finland in the UK as well as the joint lead managers for the inaugural Green Bond transaction.
Pekka Averio, the President and CEO, MuniFin:
”We are proud to be the first Finnish Green Bond issuer. Most of our lending portfolio consists of investments that could be categorised as socially or environmentally responsible. As we are one of the most important credit institutions in Finland, we feel that we have a central role in raising environmental awareness in the Finnish public sector and encouraging our customers to make more environmentally friendly investments. Our aim is to support this change by offering a small margin discount for projects that are approved green financing.
We have a long history with London Stock Exchange in connection with our previous bond issues and we are honoured to list our Green Bond on London Stock Exchange’s Green Bond Segment.”