ESG investor interest swerves east

Author: Jimmie Franklin | Published: 19 Dec 2019

Raiffeisen Bank International and Renaissance Capital have delivered the issuance of €325 million (361.43 USD) 8.5% senior notes due 2024, by Ukrainian energy group, DTEK Renewables Finance B.V.

This offering was the first green bond ever issued by a Ukraine-based corporate, and only the second green bond in the broader region. It follows the success of the May 2019 green bond issued by Russian Railways (RZD).

"The green bond had attracted strong European and US institutional investor demand, delivering an investor book with a dominant share of large institutional fund managers," said Dmitry Gladkov, acting global head of investment banking and head of financing group, Renaissance Capital. "There has been very strong interest from dedicated green funds within the largest fund managers, opening new investor horizons for the issuer."

Read more: Social bonds grow but remain in the shadow of green

Gladkov added that he does see...