Abu Dhabi:Masdar, officially known as Abu Dhabi Future Energy Company PJSC, has successfully issued a $600 million blue bond, marking the highest-rated public blue bond issued by a corporate entity worldwide. The bond, part of Masdar's $6 billion Global Medium Term Note Programme, carries a five-year tenor and is rated AA- by both S&P and Fitch.
According to Wam, the blue bond was launched on the London Stock Exchange's International Securities Market with a 5.875 percent coupon. It was converted into euros at a yield of 4.374 percent to better align with Masdar's European investment strategies. The offering saw significant interest from a diverse group of regional and international investors, with the orderbook reaching $1.5 billion, resulting in the bond being 2.5 times oversubscribed, despite challenging market conditions.
Masdar's recent update to its Green Finance Framework (GFF) now includes eligible blue projects, allowing the company to direct funds towards water-related clean energy initiatives, such as offshore wind. These projects must undergo thorough impact assessments to mitigate negative effects on biodiversity. Mazin Khan, Masdar's Chief Financial Officer, emphasized the significance of this issuance, stating it would bolster the development of a resilient blue and green economy.
The company, recognized as a global leader in sustainable finance, has raised $2.75 billion since 2023 through its bond programme. As of the end of 2025, $2.3 billion has been allocated to 30 renewable energy projects with a gross capacity of over 16 gigawatts across 10 countries. Masdar's updated GFF aligns with the guidance from the International Capital Market Association and the International Finance Corporation, and it has received the highest Sustainability Quality Score (SQS1) from Moody's.
The bond's joint lead managers and bookrunners included Abu Dhabi Commercial Bank, BNP Paribas, Crédit Agricole CIB, First Abu Dhabi Bank, HSBC, J.P. Morgan, and Société Générale CIB. With a renewable energy portfolio exceeding 65GW, Masdar aims to reach 100GW of energy capacity by 2030, continuing its strategic expansion to meet growing clean energy demands.