SalMar raises £58.1m with bond issue

SalMar, the world’s second largest Atlantic salmon farmer, has issued a new NOK 750 million (£58.1m) unsecured green bond and will apply for the bond to be listed on the Oslo Stock Exchange.

The bond has a 10‑year tenor and a coupon (interest rate) of 5.625%, equivalent to a floating rate of the average of three months of the Norwegian Interbank Offered Rate plus 150 basis points (1.5%).

Green bonds are specifically designated to finance environmentally friendly projects, and are now often used by listed salmon farming companies to raise capital.

In January last year, SalMar - which co-owns Scotland salmon producer Scottish Sea Farms - raised NOK 4.35bn (£313m) by issuing five-year and seven-year green bonds, and in August added another NOK 500m (£36.2m) of debt into the seven-year bond.