Clifford Chance Badea advised EUR 500 million worth of green bonds in the first half of the year

In line with the global strategy on sustainable financing, Clifford Chance Badea consolidates its advisory portfolio in the field of green bond issues and supports the development of this segment in Romania, having advised in recent months two transactions worth EUR 500 million.

A team including Radu Ropotă (counsel), Georgiana Evi (senior associate) and Mihai Dolhescu and Nicolae Grasu (lawyers) advised Nordic Trustee AS, as guarantor and bond trustee, in connection with a Norwegian governed EUR 200 million Senior Secured Green Bond Issue by a company owned by Alternus Energy Group PLC (Ireland), owner of five solar parks in Romania.

Separately, a multi-jurisdictional team of lawyers from Clifford Chance offices in Bucharest, London and Amsterdam advised MAS Real Estate, majority owned by Prime Kapital, in connection with the EUR 300 million green bond offer, which was successfully subscribed last week. The bonds are listed on the Euronext Stock Exchange in Dublin. The funds generated will be used for the acquisition and development of sustainable real estate projects in Romania.

The local team consisted of Mădălina Rachieru-Postolache (partner), Radu Ropotă (counsel) and Dorin Giurgi (lawyer).

"The green bond market has been growing significantly in recent years, as more and more issuers align their strategy to the general goal of limiting the impact of global warming," said Mădălina Rachieru-Postolache, partner and head of the Capital Markets practice with Clifford Chance Badea. "Romania joins this wave of sustainable financing and we are pleased to have an active contribution to shaping this new market from the very beginning."

Last year, the law firm advised NEPI Rockcastle in connection with the EUR 500 million green bonds issue. The funds generated were used to finance projects aimed at increasing the performance of the real estate portfolio in terms of energy efficiency and sustainability.

Radu Ropotă (counsel) adds: “Challenges inherent in the complexity of these transactions, which involved in the first case debt refinancing and financing of acquisitions of Romanian companies through the issuance of green bonds, and multi-jurisdictional coordination (Great Britain, Ireland, British Virgin Islands, Isle of Man, Malta) in the case of green bonds issuance by MAS Securities BV also brought great professional satisfaction. Even more so because the transactions were successfully finalized and the resulting financing targets sustainable development. We are happy to support our clients and help them 'plant a tree so we can sit in the shade in the future', to paraphrase Warren Buffett."

The first green bond financing project advised by Clifford Chance Badea took place in 2018, when a team coordinated by Cosmin Anghel (counsel) provided advise on Romanian law aspects to the banking syndicate formed by BNP Paribas, HSBC, JP Morgan and UniCredit in connection with the green bond issue launched by German-based wind turbine manufacturer Nordex Group, amounting to EUR 275 million.