Eurogrid GmbH, the parent company of transmission system operator 50Hertz, has raised just over €1 billion through Germany’s first EU Green Bond issued under the new European Green Bond Standard.
The dual-tranche issuance will fund onshore and offshore grid expansion projects to support renewable energy integration across the 50Hertz network. It includes a €500 million four-year bond with a 2.886% coupon and a €600 million fifteen-year bond at 4.165%.
Investor appetite was strong, with the offering four times oversubscribed and total demand exceeding €7 billion.
Proceeds will be allocated under Eurogrid’s Green Financing Framework, rated “Excellent” by Sustainable Fitch. The framework aligns with the EU Taxonomy, the EU Green Bond Standard and the International Capital Market Association (ICMA) principles.
Eurogrid said the financing will accelerate critical grid infrastructure development to advance Germany’s energy transition and support 50Hertz’s goal of delivering 100% renewable electricity within its grid area by 2032.
Christine Janssen, chief financial officer of 50Hertz, said: “With the first EU Green Bond in Germany under European standards, we are sending a clear signal for sustainable financing and the future viability of our grid infrastructure.”
She added that the strong investor response reflects confidence in the company’s sustainability strategy and in Germany’s stable, investment-friendly regulatory environment.
The EU Green Bond Standard, which sets binding rules for sustainable bond issuance, aims to enhance transparency, credibility and investor confidence in climate-aligned finance.
Eurogrid said the successful transaction underlines its leadership in sustainable finance and strengthens its position among investors seeking credible, ESG-aligned opportunities.
The bond was arranged by ING, BNP Paribas, NatWest and Commerzbank as active bookrunners, with Deutsche Bank and Société Générale acting as passive bookrunners. Mizuho and Rabobank served as sustainability advisors.
