voestalpine is the first European steel company to place a green bond

25 September 2024 |

The international steel and technology group has successfully issued its first green corporate bond, for EUR 500 million. The bond has a term of five years and a coupon of 3.75%, and met with high investor demand. Private investors may also subscribe during the subscription period running from September 26 to October 3, 2024. The entire proceeds of the issue will be used to finance or refinance sustainable voestalpine projects, such as greentec steel.

This green bond’s (ISIN AT0000A3FA05) value date and start of trading on the Vienna Stock Exchange is scheduled for October 3, 2024.

voestalpine has been an environmental benchmark in the industry for decades, and has a clear plan to transform its steel production with greentec steel. As early as 2027, we will partially switch from the traditional blast furnace route to electric arc technology using green electricity, thereby reducing our emissions by around 30% by 2029. This makes greentec steel the largest climate protection program in Austria. By issuing the first green bond in the European steel industry, we are now also taking on a pioneering role in the capital market.

Herbert Eibensteiner, CEO of voestalpine AG

Gold standard for the Green Financing Framework

A few weeks ago, voestalpine became the first European steel company to publish a Green Financing Framework, the basis for this green bond.

Our Green Financing Framework fulfills the stringent requirements of the International Capital Market Association whose standards are considered best practice worldwide. Our framework for this first green bond and future green financing is the gold standard.

Gerald Mayer, CFO of voestalpine AG

The Green Financing Framework was reviewed by the ESG rating and research agency Moody’s as part of a second party opinion, and awarded a top rating (“very good”).

The voestalpine Group

voestalpine is a globally leading steel and technology group with a unique combination of materials and processing expertise. voestalpine, which operates globally, has around 500 Group companies and locations in more than 50 countries on all five continents. The voestalpine Group has been listed on the Vienna Stock Exchange since 1995. With its premium products and system solutions, voestalpine is a leading partner to the automotive and consumer goods industries, as well as to the aerospace and energy industries. The company is also the global market leader in railway systems, tool steel, and special sections. voestalpine is committed to the global climate goals and has a clear plan for transforming steel production with its greentec steel program. In the business year 2023/24, the Group generated revenue of EUR 16.7 billion, with an operating result (EBITDA) of EUR 1.7 billion; it has around 51,600 employees worldwide.

Advertisement - Important Notice:

This is an advertisement within the meaning of Art. 22 of the Prospectus Regulation and constitutes marketing information within the meaning of the Austrian Securities Supervision Act, the Austrian Capital Market Act 2019 and the Prospectus Regulation. It does not, however, constitute financial analysis, or investment advice or recommendations related to financial instruments, or an offer to sell, or invitation to buy securities of voestalpine AG. voestalpine AG securities are being publicly offered in Austria and Germany solely by means of and on the basis of the capital market prospectus approved by the Austrian Financial Market Authority (FMA) on 4 July 2024, published and notified to the German Federal Financial Supervisory Authority, and any possible supplements (together the “Offer Documents”). This prospectus, the supplements thereto as well as the final terms can be viewed and downloaded on the company's website at https://www.voestalpine.com/group/en/investors/bonds/.

The approval of the prospectus by FMA should not be construed as an endorsement of the securities offered. Only the information in the Offer Documents is binding in connection with the offer. Potential investors should read the Prospectus before making an investment decision in order to fully understand the potential risks and rewards associated with the decision to invest in the securities. Potential investors should read in particular the risk factors set forth in the Offer Documents and make this the basis for their decision and should not base their investment decision on this advertisment communication. An investment in securities of voestalpine AG carry high risks, in particular the risk of a total loss of the invested capital.

This advertisment is addressed exclusively to persons legally entitled to receive it. This information is not intended for distribution or publication in the United States of America (USA) and may not be provided or distributed to "U.S. persons" (as defined in Regulation S of the U.S. Securities Act of 1933, as amended) or to general circulation publications in the USA, or distributed or published in any other country where its distribution or publication would be unlawful.

Press Kit zip | 45.83 MB