SFL has announced the successful placement of USD 150 million senior unsecured sustainability-linked bonds due on April 19, 2028.
According to SFL, the bonds are set to pay a coupon rate of 8.25% per annum. The net proceeds from the bond placement will primarily be allocated towards the refinancing of existing bonds and for general corporate purposes. The Company intends to apply for the listing of these bonds on the Oslo Stock Exchange.
Sustainability-linked bonds (SLBs) are debt instruments where the proceeds raised are intended to fund both general corporate purposes and projects that have positive environmental and/or social outcomes. The key feature that differentiates SLBs from traditional bonds is the inclusion of sustainability performance targets (SPTs) in the bond’s terms.
In the placement of this bond issue, Arctic Securities and DNB Markets served as Joint Bookrunners. Additionally, Fearnley Securities, Pareto Securities, SEB, and SMBC Nikko participated as Co-Managers.
