Abu Dhabi:Abu Dhabi National Energy Company PJSC (TAQA) has announced the successful pricing of a dual-tranche bond offering, consisting of 5-year green notes and 10-year conventional notes. The offering garnered significant interest from domestic, regional, and international investors, with the orderbook being more than three times oversubscribed.
According to Wam, this strong demand reflects investor confidence in TAQA's credit quality and long-term strategy. The transaction marks the first public benchmark from an Abu Dhabi Government Related Entity (GRE) since March 2026, indicating sustained appetite for high-quality Abu Dhabi credit and TAQA's ability to secure competitive funding in various market conditions.
The green tranche of the bond will be utilized to finance or refinance eligible renewable energy generation and green grid projects, aligning with TAQA's Green and Blue Finance Framework. This initiative adheres to the Climate Finance Principles for Green Grids, endorsed by the COP30 Presidency, and is supported by TAQA in its role as co-chair of the Utilities for Net Zero Alliance (UNEZA). Proceeds from the conventional tranche are earmarked for general corporate purposes.
Both tranches are integral to TAQA's 2030 Vision for Sustainable and Profitable Growth, under which the company invested nearly US$10 billion in energy transition projects between 2021 and 2025. The transaction follows TAQA's notable US$750 million Blue Bond issuance in July 2026, the largest of its kind globally and in the EMEA region.
Upon settlement, TAQA will have issued a total of USD 3.7 billion in Green and Blue labelled bonds since 2023, including US$1.85 billion in 2026 alone. The notes are expected to carry ratings of Aa3 by Moody's and AA by Fitch, consistent with TAQA's corporate credit ratings, and will be listed on the London Stock Exchange. The US$1.75 billion offering includes US$1.1 billion in green notes maturing on 26 April 2032 and US$650 million in conventional notes maturing on 26 October 2036, with respective coupons of 5.875 percent and 6.125 percent.
The bond issuance was led by joint bookrunners and joint lead managers, including Abu Dhabi Commercial Bank, Citi, Emirates NBD Capital, First Abu Dhabi Bank, HSBC, Industrial and Commercial Bank of China, J.P. Morgan, Mashreq, and Standard Chartered Bank, with Citi, HSBC, and Standard Chartered Bank also acting as Joint Green Structurers. Jasim Husain Thabet, Group CEO and Managing Director of TAQA, highlighted the investor demand as a testament to confidence in TAQA's financial strength and strategic direction.