Alperia Closes Early the Placement of a New 250 Million Euro Green Bond

Alperia spa , a multi-utility controlled by the administrations of Alto Adige (starting from the Province and Municipality of Bolzano and the Municipality of Merano) has closed early the placement of a new green bond (the sixth) of 250 million euros having reached the amount maximum offer in a few hours.

The issue is the first from Alperia to also be extended to retail customers, with a minimum denomination starting from one thousand euros. The offer, in consideration of the great demand from the market, had been increased by a further 50 million after having reached the initially expected maximum amount of 200 million in a few hours from the start of the placement .

The placement operation was handled by Equita SIM, as Placement Agent and Joint Bookrunner, by Banca Akros, as Joint Bookrunner, and by Finint Private Bank, Cassa di Risparmio di Bolzano and Cassa Centrale Raiffeisen dell’Alto Adige as co-manager. The company was assisted for legal and tax aspects by Legance, with the collaboration of Ethica Group as debt advisor, while Dentons Europe Studio Legale Tributario assisted the Placement Agent and the Joint Bookrunners.

The issue, also thanks to the issuer’s investment grade rating and the recent upgrade of the outlook to stable from negative, was especially attractive for retail investors, who represented approximately 60% of the order book . Among the latter, we also note the significant participation of the South Tyrolean population, “committed to supporting the multi-utility active in the area,” we read in a note.

“We are very proud of the great demand for our green bonds and I thank all those who invested in our bonds for their trust in Alperia. We are pleased to be able to promote the energy transition together and share the successes of our company”, commented Luis Amort , CEO of Alperia, on the early closure.

The issue qualifies as a senior unsecured green bond , will have a duration of five years and a fixed coupon of 4.75% with semi-annual deferred payment. The bonds will be issued on June 5, 2024, when interest will also begin to accrue. The resources collected will go to finance new green projects and refinance existing ones.

Alperia has committed to reaching Net Zero by 2040

The previous issue dates back to July 2023 when Alperia launched its fifth green bond of 500 million euros , receiving subscription requests for approximately double its value . The bond was reserved for qualified investors to find resources intended for the financing and refinancing of sustainable projects, aimed at decarbonization and the responsible use of water resources.

The issue was part of Alperia’s 1.5 billion euro Euro Medium Term Notes Programme, which was then updated. The 500 million euros are repayable bullet at maturity after 5 years , with a coupon that will be paid annually at a fixed rate of 5.701%.

More specifically, the funds are allocated by the company to the “Eligible Green Projects”, selected on the basis of the evaluation criteria defined in the Green Financing Framework published in May 2023 (see Alperia’s 2023-2027 strategic plan here ), after having issued in the past four green bonds placed on the private market, the first of which in 2016 under a previous EMTN program up to a total amount of €600 million of securities classified as green bonds .

Alperia is 46.38% owned by the Autonomous Province of Bolzano , 21% each by the municipalities of Bolzano and Merano , and 11.62% by Selfin srl, which brings together over 100 South Tyrolean municipalities. As a 100% sustainable energy service provider , approximately 4 million MWh of energy per year through 34 hydroelectric power plants located in South Tyrol. In 2022 the group had a turnover of approximately 3.6 billion euros (+75% compared to 2021), the ebitda was equal to 272 million euros (against 250.7 million), while the net debt stood at 1.16 billion (from the previous 715.9 million), (see the Leanus report here , after registering for free).

In June 2023, Alperia completed the second phase of the renovation and expansion of the San Floriano hydroelectric power plant , in the municipality of Egna (Bolzano), 50% owned and under concession to the SF Energy company. The overall investment was 27 million euros dedicated mainly to the renewal of the plant’s machinery (see the press release at the time here ) . The renovation project involves the replacement of the three turbine-alternator groups over several years.

Finally, we would like to remind you that in October 2020 Alperia acquired 50.1% from Intecno spa , a non-operational holding company of the Ego Group dedicated to financing initiatives that facilitate the development of territorial projects in the water, energy and environmental sectors. of Hydrodata, a leading technical consultancy company that has always been committed to the development and offering of engineering services , technical-economic consultancy and applied research in the field of water management.

__

(Featured image by geralt via Pixabay)

DISCLAIMER: This article was written by a third party contributor and does not reflect the opinion of Born2Invest, its management, staff or its associates. Please review our disclaimer for more information.

This article may include forward-looking statements. These forward-looking statements generally are identified by the words “believe,” “project,” “estimate,” “become,” “plan,” “will,” and similar expressions. These forward-looking statements involve known and unknown risks as well as uncertainties, including those discussed in the following cautionary statements and elsewhere in this article and on this site. Although the Company may believe that its expectations are based on reasonable assumptions, the actual results that the Company may achieve may differ materially from any forward-looking statements, which reflect the opinions of the management of the Company only as of the date hereof. Additionally, please make sure to read these important disclosures.

First published in Be Beez. A third-party contributor translated and adapted the article from the original. In case of discrepancy, the original will prevail.

Although we made reasonable efforts to provide accurate translations, some parts may be incorrect. Born2Invest assumes no responsibility for errors, omissions or ambiguities in the translations provided on this website. Any person or entity relying on translated content does so at their own risk. Born2Invest is not responsible for losses caused by such reliance on the accuracy or reliability of translated information. If you wish to report an error or inaccuracy in the translation, we encourage you to contact us