Led by Frankfurt partner Jochen Seitz, the international law firm Hogan Lovells advised the joint lead managers consisting of UniCredit Bank (technical lead), BNP Paribas and Rabobank on the placement of Eurogrid GmbH’s first green bonds with an issue volume of EUR 750 million.
The corporate bond with a term of 12 years and an interest rate of 1.113 percent was successfully placed on 15 May 2020 and admitted to the regulated market in Luxembourg. Hogan Lovells had previously advised the dealers on the update of the debt issuance programme with Commerzbank as arranger.
With its first Green Bond, Eurogrid GmbH, parent company of the transmission system operator 50Hertz Transmission GmbH, secures the financing of investments in a portfolio of selected projects and facilities of 50Hertz Transmission GmbH and its subsidiary 50Hertz Offshore GmbH within its Green Bond Framework. These serve in particular to integrate offshore wind energy into the transmission grid on land and thus to expand the grid necessary for the energy turnaround. Examples of projects currently selected under the Green Bond Framework are the offshore projects Ostwind 1 and Ostwind 2, which involve the construction of grid connections for several offshore wind farms northeast of Rügen.
Hogan Lovells team for the bank consortium:
- Dr. Jochen Seitz (Partner), Dr. Stefan Schrewe, Frank Salzgeber (Associates) (all Capital Markets);
- Dr. Jörg Herwig (Partner), Simon Theis (Senior Associate) (both Corporate).
Jochen Seitz and his team have been advising the banks on the programme and issuances since its launch in 2015.