TenneT Germany Prices €2.6 Billion Hybrid Bond

TenneT Germany has successfully launched its inaugural EuGB hybrid bond, valued at €2.6 billion through a dual-tranche deal. This issuance includes €1.2 billion at a 4.25% interest rate with a 5.25-year non-call period, and €1.4 billion at a 4.75% interest rate for 8.5 years. The strong market demand was apparent, with orders oversubscribed 5.4 times.

The issuance is a part of TenneT's extensive investment program, enhancing their capital structure while complying with the EU Green Bond Regulation and ICMA Green Bond Principles. Joint Active Bookrunners included major banks such as Deutsche Bank and ING, ensuring the bond will be listed on the Luxembourg Stock Exchange's regulated market.

According to Markus Binder, CFO of TenneT Germany, hybrid capital remains a key strategic component for the company as it aims to facilitate future energy systems.