CDP launches the new Social Bonds 2021 to support SMEs and mid-caps in southern Italy
Applications for around €2.5 billion from over 90 investors
CDP has launched a new Social Bond issue to support Italian SMEs and mid-caps located mainly in southern Italy, with the aim of increasing their competitiveness and supporting employment.
The CDP Social Bond 2021 is intended for institutional investors and has a nominal value of €500 million. It is fixed-rate, unsubordinated, unsecured and has a gross annual coupon of 0.75%, with a maturity of eight years.
The transaction attracted applications for some €2.5 billion, demonstrating the strong interest in this type of issue, and was accepted by more than 90 investors, of which some 60 were foreign.
The initiative confirms CDP's role as a leader in sustainable finance in Italy. Since 2017, CDP has been present on the sustainable bond market with Social and Sustainable Bonds dedicated to generating tangible positive impact for the country. Between 2017 and 2020, CDP issued six ESG bonds for a total value of over €4 billion, making it one of the leading social issuers in the European market. This commitment led Cassa Depositi e Prestiti to be the first Italian institution to join the Nasdaq Sustainable Bond Network, the platform dedicated to sustainable finance managed by Nasdaq that brings together investors, issuers, investment banks and specialist organisations.
Financial instruments such as the CDP Social Bond 2021, designed to offer solid support for the growth of the productive fabric, represent an unmissable opportunity to give impetus to the country's recovery, steering it towards a model of sustainable and inclusive development, in line with the objectives of the United Nations 2030 Agenda.