Kverva, Norway-headquartered SalMar ASA has successfully completed a new senior unsecured green bond issue of NOK 3.5 billion (USD 414.9 million, EUR 347 million), with the salmon farmer initially seeking to raise NOK 2.5 billion (USD 296.3 million, EUR 247.8 million).
The bonds will mature on 22 January, 2027.
Announcing the successful placement, SalMar said the transaction was “significantly oversubscribed.”
It explained that the bonds have a coupon of three months NIBOR (Norwegian Interbank Offered Rate) at + 1.35 percent per annum, and the settlement date is set to 22 April, 2021.
Danske Bank, DNB Markets, and Nordea acted as joint lead managers and green bond advisors in connection with the bond issue.
SalMar also advised that an application will be made for the bonds to be listed on Oslo Stock Exchange.
Green bonds raise funds for new and existing projects which deliver environmental benefits, and a more sustainable economy. They can include renewable energy, sustainable resource use, conservation, clean transportation, and adaptation to climate change.
SalMar harvested 36,900 metric tons (MT) of head-on gutted (HOG) salmon in the first quarter of this year, with reduced volumes coming from its both Norwegian and Icelandic operations.
Its farms in the north of Norway harvested 13,500 MT, while its facilities in central Norway supplied 20,800 MT. Subsidiary Icelandic Salmon harvested 2,500 MT in the quarter.
SalMar’s full report for Q1 2021 will be released on 12 May.
The company has forecast a 2021 salmon harvest of 163,000 MT in Norway and 14,000 MT in Iceland. It also co-owns Scottish Sea Farms.
