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CMI receives the biggest investment in green bonds in Central America

CMI receives the biggest investment in green bonds in Central America

April 26 2021

The green bond investment seeks to contribute to reduce GHG emissions and to decarbonization

Photo: Environment. Pixabay

CMI Energy announced the placement of US$700 million in green bonds at a 6.250% interest rate with maturity in 2029. Additionally, it negotiated a syndicated loan for US$300 million to refinance its debt.

The CMI Capital unit of Corporación Multi Inversiones highlighted that it is the largest placement to date in green bonds in Central America and the Caribbean.

Enrique Crespo, CEO of CMI Capital highlighted the diversity of foreign investors, since investor offers from the United States (56%), Europe (29.4%), Asia (2.3%) and Latin America (12.3%).

“through the placement of green bonds we seek to optimize the capital structure of our company and to continue with an operation of excellence, on ongoing growth, and the creation of positive impact for the communities where we operate”, explained Crespo.

To perform the transaction, Rothchild & Co and Clifford Chance acted as financial and legal advisors. At the same time, Moody’s qualified green bonds with a Ba3, while Fitch Ratings and Standard & Poor’s gave them a BB-.

The CEO of CMI Capital stated that the placement of green bonds involves the commitment to make sustainable investments to contribute to the reduction of GHG emissions, to decarbonization, and to diversification of the regional energy network.  

“In the framework of 100 years of history of CMI, CMI Energy gains successful access to bond markets for the first time, and in this manner, we solidify our strengths as a multi-Latin family group performing with business excellence and continuous growth, with knowledge and experience in regional business operation”, Crespo concluded.

Source: Forbes Centro América