ESG & Investing
Enel Forced to Raise Coupons on $11 Billion of ESG Bonds
- Firm missed greenhouse-gas emissions target in series of bonds
- SLBs impose penalties on borrowers when they fail green goals
Solar panels owned and operated by Enel Green Power in the US.
Photographer: Jordan Vonderhaar/BloombergThis article is for subscribers only.
Enel SpA will raise the coupons it pays investors on several so-called sustainability-linked bonds, after the Italian energy company triggered a penalty by missing its greenhouse-gas emissions targets.
The missed 2023 goal means that Enel bonds worth about $11 billion will now pay a total of roughly €83 million ($89 million) in additional interest, according to a calculation provided by Bloomberg Intelligence.