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TAQA Group Successfully Prices US$1.75Billion Dual Tranche 7-Year And 12-Year Bond Offering
(4 October 2024)

In line with its ESG Strategy, TAQA prices a US$850 million 12-year green bond offering, its second under the Group’s Green Finance Framework

Abu Dhabi National Energy Company PJSC (“TAQA”or “the Group”),one of the largest listed integrated utilities companies in Europe, the Middle East and Africa, announced today the successful pricing of an aggregate US$1.75 billion in 7-year and 12-year dual-tranche senior unsecured notes.

The 12-year notes, sized at US$850 million and maturing on 9 March 2037 bear a coupon rate of 4.75%. These notes represent TAQA’s second green bond issuance and net proceeds of the issuance will be used to finance, refinance and invest in relevant eligible green projects, as outlined in the company’s Green Finance Framework. The 7-year notes, sized at US$900 million and maturing on 9 October 2031, are conventional bonds bearing a coupon rate of 4.375%. Proceeds from these bonds will be used for general corporate purposes. The transaction documents are expected to be signed on 7 October 2024 with settlement on 9 October 2024.

The transaction benefitted from strong demand from domestic, regional, and international investors. The Notes, which form part of TAQA’s Global Medium Term Note Programme – are expected to be rated Aa3 by Moody’s and AA by Fitch, in line with the corporate credit rating of the company andlisted on the London Stock Exchange (LSE).

The offering was arranged and offered through a syndicate of joint lead managers and bookrunners comprising of Bank of China Limited, Barclays Bank PLC, Citigroup Global Markets Limited, First Abu Dhabi Bank PJSC, J.P. Morgan Securities plc, Mizuho International plc, MUFG Securities EMEA plc, and Natixis.

TAQA, aiming to bolster its low-carbon energy portfolio and enhance its core businesses, has secured US$1.85 billion under its Green Finance Framework since 2023. This funding has been instrumental in accelerating the growth of its renewables portfolio and driving strategic acquisitions within the Group.

Jasim Husain Thabet, TAQA’s Group Chief Executive Officer and Managing Director, commented: “TAQA's latest green bond offering underscores our continued ability to secure competitive financing while advancing our ESG and decarbonisation agenda. This issuance, the second under TAQA’s Green Finance Framework, reflects the increasing investor appetite for credible green investments that align with our ambitious growth targets.

The latest bond placementalso demonstrates ourcommitment to financing sustainable solutions that provide low-carbon and reliable power and water for communities and businesses while delivering long-term sustainable value for our shareholders.”

Stephen Ridlington, TAQA’s Group Chief Financial Officer, commented: “The successful completion of this dual-tranche bond offeringunderscores investors' confidence in TAQA's financial strength. We've once again secured highly competitive funding terms, locking in interest rates that align closely with our existing corporate debt costs, as we maintain our investment-grade credit profile. This transaction will significantly contribute toour pursuit of fundingof future growth initiatives.”