Abu Dhabi state-owned renewable energy firm Masdar on Monday listed its first green bond on the London Stock Exchange (LSE) to fund its clean energy projects.

Masdar completed a $750 million 10-year green bond offering on the LSE on July 19, 2023, which was more than five times oversubscribed.

“The demand for green bonds is extremely high and will enable investment in renewable energy projects, many of which will be in developing economies and climate-vulnerable countries. But there is more to do if we are to unlock finance for the energy transition to support the tripling of global renewable energy capacity by 2030,” Dr Sultan Al Jaber, UAE Minister of Industry and Advanced Technology, COP28 President-Designate and Chairman of Masdar, said.

“The successful issuance of Masdar green bonds will support this aim, by helping to provide funding towards renewable energy projects where they are needed most,” he added.

This bond is the first part of a program to raise up to $3 billion to meet Masdar's equity funding commitments on new renewable energy projects in the UAE and abroad, as it seeks to grow its global portfolio to 100GW of capacity by 2030. So far, Masdar has developed over 20GW of renewables capacity across more than 40 countries and has invested more than $30 billion.

Masdar also plans a secondary listing of its green bond offering later this year on Abu Dhabi Securities Exchange (ADX).

Proceeds from all bond offerings under the program will be deployed towards solar, wind, renewable power transmission and distribution infrastructure, and battery storage assets, according to a statement from Masdar.

(Writing by Seban Scaria seban.scaria@lseg.com; editing by Daniel Luiz)