Ambipar raises US$750 million with green bond

Paper with a 7-year term came out with a rate of 9.875% per year; the company will apply an equivalent amount in green businesses

Ambipar has just raised $750 million with the issuance of its first green bond in the international market. The paper, with a seven-year term, came out with a rate of 9.875% per year. The rate is the same as a traditional bond issuance closed yesterday by 3R Petroleum.

The initial intention was to raise at least $500 million, but the company increased the size of the operation due to investor demand, which totaled $1.75 billion.

The company will use the funds to repay other debts and has committed to applying an equal amount in projects with environmental benefits covered in its ESG debt framework.

The document, which was validated by the agency Sustainalytics, lists seven eligible segments: renewable energy and energy efficiency, clean transportation, water management, waste management, green construction, climate change mitigation and adaptation, and circular economy. The money can also be used for acquisitions of new businesses that fit these categories.

With the operation, coordinated by Bank of America (BofA), BTG Pactual, Itaú BBA, and Morgan Stanley, the company extends the average term of its debts from three and a half years to five years.

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