Finnish mineral processing equipment manufacturer Metso has issued a €300 million sustainability-linked bond under the Euro Medium Term Note (EMTN) program as it moves to align its funding strategy “with our overall strategic commitment to sustainability”.
Metso chief financial officer Eeva Sipila said the bond transaction was “supported by a wide range of investors”. It would be used to refinance existing debt and for general corporate purposes.
A fixed coupon rate of 4.375%, which can rise if Metso doesn’t meet certain sustainability performance targets, applies up to the bond’s November 2030 maturity date.
Metso said the bond came with no financial covenants attached.
It will be listed on the Luxembourg Stock Exchange.
Citigroup Global Markets, BNP Paribas, Nordea and OP Corporate Bank were lead managers for the transaction, with Nordea the sustainability structuring advisor.