P3 Group makes bond market debut with €1bn green bond

Frank Pörschke.

Logistics property company P3 Group has debuted on the bond market with a €1 billion green bond issue. The bonds, which have four- and seven-year tenors, will be traded on the Euro MTF (multilateral trading facility) market and listed on the Luxembourg Stock Exchange.

The bonds bear fixed coupons of 0.875% for the four -year bond, and 1.625% for the seven-year tenor. The bond proceeds will be used to finance or refinance green projects and assets.

P3 said that the bonds are being issued in line with the company’s new green financing framework, part of its ESG strategy, which includes an ambition to reduce greenhouse gas emissions in line with globally recognised targets.

“Logistics real estate continues to exhibit strong fundamentals with favourable long-term supply and demand trends due to the ongoing growth in eCommerce, as well as related supply chain optimisations,” said P3 Logistic Parks CEO Frank Pörschke.

“Our focus remains on growing profitably, and sustainably, which is why we have launched our green financing framework at the end of 2021 to support the issuance of green bonds,” he added. “Together with the support of our shareholder, GIC, we plan to continue our dynamic growth journey in the coming years, partly funded by possible repeat issuances in the bond market.”