BVP To Raise €7.5m Green Bond09 Jul 2018
Investment company, BVP, is planning to raise €7.5 million for investment in a number of Renewable Energy Projects and established trading businesses. BVP is an active investor in Green businesses and SME businesses in Ireland with over 20 companies in their portfolio including impact companies such as UrbanVolt and Crowley Carbon which has recently announced 187 jobs for the South East region. The company believes it is possible to create environmental and social impact alongside a good investor return.
Speaking today, Elliott Griffin, Managing Director of BVP, said that Green Bonds were becoming more attractive to investors large and small; “Green bond issuance globally was over €130 billion in 2017 and these options are increasingly accessible for retail investors too. Our particular bond is structured around a Convertible Loan Note. The Note will offer investors a fixed coupon for a period of five years paying either 6% a year or 33.8% at the end of the investment period (for investors who choose to receive payment at the end of term). Minimum investment will be €10,000 and the investment term will be five years.
Griffin said that the company was raising the investment as it was in advanced discussions with a number of companies about investment. He said; “we will split investments between renewable energy projects and growing, established trading businesses. The renewable energy projects provide asset backing for the investment. The trading businesses generate the potential for greater upside investor returns. Together they provide a complementary investment proposition.”
Griffin gave one example of the type of environmental impact which the investment could achieve. He said; “One example of the type of benefits that can be reaped from this Green Bond is a windfarm we have in our pipeline to fund. Its environmental impact over its lifetime will be equivalent to taking 23,000 cars off the road for 1 year or the carbon impact over 10 years of planting nearly 3 million tree seedlings.”
Issued on behalf of BVP by Gordon MRM