The European Investment Bank has committed €20 million to a €300 million five-year green bond issued by Estonian energy company Eesti Energia.
The financing will support Eesti Energia investments in renewable energy, electricity networks and energy storage in Estonia and across the Baltic region, according to the EIB's statement released on Monday.
It is the first time the EIB has invested in a green senior bond in the Baltics.
Eesti Energia’s bond sale attracted orders worth €1.9 billion from international investors, exceeding the amount offered.
“This investment shows how European cooperation can accelerate the energy transition,” EIB Vice-President Karl Nehammer stated.
What the money will be used for
Proceeds from the bond will finance renewable energy generation, electricity networks designed to integrate more renewable power, battery storage, and electric vehicle charging infrastructure, the EIB said.
The bond is listed on the Luxembourg Stock Exchange.
“EIB’s participation in our green bond is a strong vote of confidence in Eesti Energia’s strategy as well as in the Baltic region’s energy transition,” declared Danel Freiberg, head of treasury and financial risk management at Eesti Energia.
