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RWE launches first US green bond

The energy giant has issued its first US dollar green bond, raising $2 billion with high investor demand

RWE has successfully issued its first green US dollar bond, amounting to a total of $2 billion (£1.6bn).

The bond comprises two tranches, with a ten-year and 30-year maturity, each valued at $1 billion (£860m).

The interest rates for these tranches are 5.875% and 6.250%, respectively.

The energy giant said the issuance garnered significant investor interest, with the order book being 3.8 times oversubscribed, reaching $7.6 billion (£6.07bn).

This marks RWE’s inaugural green bond placement outside Europe, signifying a strategic entry into the US bond market.

The company plans to issue bonds averaging €3.0-3.5 billion (£2.5-2.9bn) annually through 2030, both in euros and US dollars.

Michael Müller, Chief Financial Officer of RWE AG said: “The US stands as our largest market outside of Europe where we have more than doubled our net installed capacity since 2020 to 9GW today.

wAs one of the leading renewable energy companies in the US, we want to further expand our market position in onshore and offshore wind as well as in solar and batteries with investments of about €20 billion (£17bn) by the end of this decade.”

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