North American Development Bank to issue green bond in the Swiss franc market for the equivalent of US$126.4 million
San Antonio, Texas - The North American Development Bank (NADB) has completed pricing of a CHF 125 million (US$126.4 million equivalent) green bond issuance, managed by Credit Suisse. The closing date is scheduled for July 24th . The bond will mature in July 2026 and pay a coupon rate of 0.3000%. Through a swap operation to US dollars, it will result in a rate of LIBOR 3 months plus 42.20 basis points.
This is the first green bond issued by NADB. Its environmental mandate aligns very well with the core components of the Green Bond Principles. Net proceeds will be used to fund projects in selected eligible sectors.
Recently, Moody’s Investors Service and Fitch Ratings affirmed the NADB’s credit ratings of “Aa1” and “AA,” respectively, both with a stable outlook.
NADB is an international financial institution capitalized and governed equally by the United States and Mexico with the purpose of helping develop and finance environmental infrastructure projects with public and private sector sponsors in the U.S.-Mexico border region, including the areas of water supply, wastewater treatment, waste management, air quality, urban mobility and clean and renewable energy. As of December 31, 2017, NADB had US$1.29 billion in outstanding loans in projects throughout the U.S.-Mexico border region.
More information regarding the NADB and its operations can be obtained at www.nadb.org.