Grieg Seafood is considering issuing a green bond, used to fund projects with environmental benefits. Photo: Grieg.

Grieg looks at green bond to raise funds

Grieg Seafood is considering raising cash with a green bond issue.

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The company, which farms salmon in Norway, Scotland and Canada, said today that it had mandated DNB Markets and Nordea as joint bookrunners and green bond advisors to arrange a series of fixed income investor calls commencing tomorrow, June 12. 

It said a NOK denominated senior unsecured green bond issue with a five-year tenure may follow, subject to inter alia market conditions.

Green Bond Principles

In January another Norwegian salmon farmer, Mowi, raised €200 million with a five-year, senior unsecured inaugural green bond issue, the first green bond ever issued by a seafood company.

Green bonds enable capital-raising and investment for new and existing projects with environmental benefits. Companies are expected to comply with the voluntary Green Bond Principles published in June 2018 by the International Capital Market Association (ICMA). 

In Mowi’s case, projects must fit into its Green Bond Framework, which is aligned with the IMCA’s principles.