Ørsted Taps Green Bonds for Hornsea Two Investments

Ørsted A/S plans to issue green senior bonds in the UK-market to finance its green growth ambition towards 2025 including the investments in 1,386MW Hornsea Two offshore wind farm.

With the bond issuance, Ørsted targets a multi-tranche senior unsecured GBP-Sterling green bond, subject to market conditions. Tranches may include benchmark 8-year and 14-year nominal fixed rate tenors, alongside a potential index-linked tranche (linked to either UK RPI or CPI) with an expected 15-year maturity.

The final sizes and pricing of the green bond tranches will be determined when the book-building process closes.

Ørsted has appointed Barclays Bank PLC, Goldman Sachs International, Morgan Stanley & Co. International PLC and NatWest Market PLC as joint lead managers on the bond issuances.

Hornsea Project Two is located 89km north-east of Grimsby and will comprise 165 Siemens Gamesa 8MW wind turbines.

It will become the world’s biggest offshore wind farm when operational in 2022, leapfrogging the 1.2GW Hornsea Project One, currently being constructed 120km offshore Yorkshire.