NIB Environmental Bond to finance a hydropower project in Norway

On September 20, NIB priced its first SEK denominated NIB Environmental Bond of 2013. The SEK 500 million issue offers a 5-year maturity and pays an annual coupon of 2.413%. The bond was broadly placed amongst both domestic and foreign investors.

The proceeds of the bond will be used to finance the Norwegian hydropower company Agder Energi’s construction of the new Iveland II hydropower plant next to the existing Iveland plant utilising the river Otra near Kristiansand. Agder Energi will also replace the turbine wheel and renovate the generator at the Rygene power station on the river Nidelva south-west of Arendal (see more information on the project).

Sole Lead Manager for the transaction was Handelsbanken Capital Markets. AP2, SEB AM (företagsobligationsfonden), SBAB Treasury, Länsförsäkringar Västernorrland and Kalmarläns pensionförvaltning participated in the transaction.

Summary of the terms and conditions for the bond issuance:

Issue amount: SEK 500 million

Pricing date: 21 September 2013

Payment date: 27 September 2013

Issue price: 100.00%

Coupon: 2.413%

Format: Under NIB’s Debt Issuance Programme

Listing: London

For more information on the NIB Environmental Bonds and the disbursement of funds raised through the bonds, please see here.

NIB is an international financial institution owned by eight member countries: Denmark, Estonia, Finland, Iceland, Latvia, Lithuania, Norway and Sweden. The Bank finances private and public projects in and outside the member countries. NIB has the highest possible credit rating, AAA/Aaa, with the leading rating agencies Standard & Poor’s and Moody’s.

For further information, please contact

NIB

Mr Jens Hellerup, Head of Funding and Investor Relations, at +358 9 6181 1401

Handelsbanken Capital Markets

Karl Ekholm, Syndicate, +46 8 463 4898

Thomas Grandin, Head of Syndicate, +46 8 463 45833