Hong Kong rail giant the MTR Corporation has raised €3 billion (U$3.5 billion) by selling its first euro-denominated public green bonds, in its largest bond deal to date.
The semi-privatised corporation said on Thursday that the sale also marked the largest Asia ex-Japan non-sovereign euro green bond offering.
Amid a string of new rail projects in Hong Kong, the MTR Corp is raising fresh capital to fund them. The latest deal is the third round of bond sales so far this year, bringing the total raised to HK$57.34 billion (US$7.35 billion).
The euro bond sale on Wednesday comprised three tranches with maturities of eight, 12 and 20 years.
The €1 billion eight-year tranche, €1 billion 12-year tranche and €1 billion 20-year tranche were priced with coupons of 3.25 per cent, 3.625 per cent and 4.125 per cent, respectively.
Demand was strong, with the combined order book peaking at €10.2 billion, more than three times the total issue size, the corporation said.