According to El Economista, Ferrovial returns to the financial markets to issue debt almost three years later. The company is also making its debut with sustainability-linked bonds, known as SLBs. This format is not yet as popular among companies and institutions as green, social or sustainable bonds. In Spain, there have only been two corporate SLB issues to date, by Abertis and Repsol.
Ferrovial launched the mandate on Monday to the underwriters -HSBC, Sabadell, BBVA, BofA, Citi, JP Morgan and Santander, among others- and closed the operation on Wednesday, selling 7-year sustainability-linked bonds for a total of 500 million euros after receiving a demand of around 950 million euros. According to Bloomberg data, the price to be paid for these securities closed with a spread of 125 basis points over the reference rate (mid-swap), compared to the 140-145 with which the operation started. The coupon was set at 4.375%.
This is Ferrovial’s first bond placement since November 2020 and is part of the company’s approved programme to issue sustainability-linked debt.
A team led by Federico Briano and Jorge Alegre, with support from Alvaro Albors, Yiannis Kyriakides and Elizabeth Lee, has advised Ferrovial on its first issue of sustainability-linked bonds.
