Swedish airport operator Swedavia has announced the launch of a newly established Green Bond Framework. Swedbank has acted as one of the structuring advisors, and a second opinion has been made by the independent research centre CICERO. This allows Swedavia to issue green bonds for the first time with the aim of financing sustainable investments within the aviation business. Swedavia will be the first airport in the Nordics to issue green bonds, and the third globally.
Swedavia operates and develops ten airports included in Sweden’s national basic infrastructure. The company was formed in 2010 and is wholly owned by the Swedish state. The company's vison is to develop the airports of the future and create sustainable growth for Sweden. Swedavia has set a target of zero emissions from its own operations in 2020, which means a comprehensive transition in several areas. Issuance of green bonds is a part of the work of achieving that goal.
“We are happy to act as structuring advisor for Swedavia in this matter, a role that is fully aligned with our ambition to support people and companies making sustainable choices," said Stephen Martin, Head of Capital Markets at Swedbank. "As a major bank in the Nordics and influential actor in society, we have a responsibility and a key role to play in accelerating the transition towards a sustainable economy.”
Swedavia’s Green Bond Framework is aligned with the Green Bond Principles developed by the International Capital Markets Association. The net proceeds will be used to finance investments and projects in the following categories included under the Framework: green buildings and infrastructure; energy efficiency; renewable energy; pollution prevention and control; and clean transportation.
“Our ambition is to be a world leader in the development of airports with the least possible climate impact and it is natural to also have access to a matching form of financing," said Jonas Abrahamsson, Swedavia's President and CEO. "Swedavia has been an established player in the capital market since 2013 and the framework now gives us the opportunity for the first time to be able to offer the market an investment alternative for financing projects linked to our climate change adaptation."
Swedavia’s Green Bond Framework has undergone an independent evaluation by CICERO. The framework enables the company to issue green bonds under its existing medium-term note programme, totalling SEK15 billion.
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