Generali successfully concludes the placement of its sixth and seventh green bonds
08 January 2024 - 19:45 price sensitive
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Trieste – Assicurazioni Generali S.p.A. (Generali) has placed today two new Euro denominated senior bonds, due respectively in January 2029 and in January 2034, both issued in “green” format in accordance with its Green, Social & Sustainability Bond Framework (the “2029 Notes” and the “2034 Notes”).
The transaction is in line with Generali’s commitment on sustainability matters. An amount corresponding to the net proceeds of the 2029 Notes and the 2034 Notes will be used to finance/refinance “Eligible Green Projects”.
During the book building process, the Notes attracted an aggregate order book in excess of € 2 billion from more than 80 highly diversified international institutional investors throughout the book-building process, including a significant representation of funds with Sustainable/SRI mandates.
The issuances have attracted strong interest from international investors, which accounted for over 80% and 90% of the allocated orders for the 2029 Notes and 2034 Notes respectively, confirming the strong reputation that the Group enjoys on the international markets. About 35% of the 2029 Notes has been allocated to Italian and French investors,30% to Germany, followed by Iberia taking around 13%. Regarding the 2034 Notes, 30% has been allocated to UK investors, about 30% to Italian and French investors, followed by Germany representing around 22%.
Generali Group CFO, Cristiano Borean, commented: “The successful placement of the two green bonds issued today is a further confirmation of Generali's solid financial position and of our approach to sustainability. Following this transaction, the Group has issued a total of eight bonds with ESG features. Green and Sustainable bonds are expected to represent around 40% of our total outstanding financial debt by the end of 2024. This result is fully in line with the objective of a cost efficient debt management, combined with a strong commitment to sustainability, outlined in the 'Lifetime Partner 24: Driving Growth' strategic plan”.
The terms of the 2029 Notes and the 2034 Notes are as follows:
Issuer: Assicurazioni Generali S.p.A.
Issue Expected Rating: “Baa1” by Moody’s and “A” by Fitch
2029 Notes
Amount: € 500,000,000
Launch date: 8 January 2024
Settlement date: 15 January 2024
Maturity date: 15 January 2029
Coupon: 3.212% p.a. payable annually in arrear
First coupon date: 15 January 2025
Issue price: 100%
ISIN: XS2747590896
Spread: +65bps
Euro Mid-Swap (5yr) years: 2.562%
Listing: Professional Segment of the Luxembourg Stock Exchange Regulated Market and professional segment of Euronext Access Milan market (Access Milan Professional)
2034 Notes
Amount: € 750,000,000
Launch date: 8 January 2024
Settlement date: 15 January 2024
Maturity date:15 January 2034
Coupon: 3.547% p.a. payable annually in arrear
First coupon date: 15 January 2025
Issue price: 100%
ISIN: XS2747596315
Spread: +95bps
Euro Mid-Swap (10yr) years: 2.597%
Listing: Professional Segment of the Luxembourg Stock Exchange Regulated Market and professional segment of Euronext Access Milan market (Access Milan Professional)
Deutsche Bank acted as ESG Structuring Coordinator and Global Coordinator; BofA Securities, Citi, Deutsche Bank, IMI – Intesa Sanpaolo (B&D), ING, Mediobanca and Société Générale acted as Joint Lead Managers.