Audax Renovables approves a regulatory framework to finance projects in favor of the environment through the possible issuance of Green Bonds
The company approves its regulatory framework for green financing for its upcoming bond issues, obtaining the highest level of guarantee from an independent expert.
The board of directors of Audax Renovables (ADX.MC), the energy group that integrates the marketing and generation of renewable 100% electricity, has approved the Regulatory Reference Framework for Green Financing. A commitment to sustainable growth in environmental and development matters that includes the sustainability policies and practices of the Audax Renovables Group.
Audax Renovables has carried out an analysis of the ability to integrate Environmental, Social and Corporate Governance (ESG) factors into its strategy through the independent expert Vigeo Eiris. This analysis has been carried out with the objective of optimizing the cost of its debt, diversifying its financing sources and aligning its financial strategy with its mission and sustainability values. In the opinion of expert Vigeo Eiris, the Regulatory Reference Framework for Green Financing of Audax Renovables meets the requirements established by the International Capital Markets Association (ICMA), which is why it has obtained the highest level of guarantee.
The aforementioned Regulatory Framework is inspired by the principles of Green Bonds established by the ICMA, its maxims being the following:
• The use of the funds will be for green projects with clear sustainability benefits. Specifically, they must be used to finance projects that contribute to the achievement of the Sustainable Development Goals promoted by the United Nations.
• The issuer of a green bond must communicate environmental sustainability objectives to investors in a transparent manner and allow for the evaluation, selection and external review of projects.
• The management of the funds will be controlled by the issuer itself and this will allow complementary review by an independent external reviewer.
• The green bond issuer will periodically update information on the use of funds and the sustainability benefits obtained.
With the alignment of the principles of Green Bonds established by the ICMA, the Audax Renovables Group sets the objective that the funds obtained through the future issuance of green bonds are allocated to investments in projects that comply with environmental and safety criteria. sustainable development. These projects will be validated both by Audax Renovables and by an independent rating entity.
These projects will be framed in the field of renewable energies, helping to generate positive impacts on society and in the markets in which the group operates. In this way, it will directly contribute to the achievement of Sustainable Development Goal 7 (SDG 7 - affordable and non-polluting energy) and Sustainable Development Goal 13 (SDG 13 - climate action) promoted by the United Nations in its 2030 Agenda. .
This commitment made by the Group will allow its future bond issues to carry the “green” rating, a requirement that many international investors currently already require. The alignment of the Green Bond principles established by the ICMA is usually a reference indicator for many international investors, who discriminate between those issuers that comply with environmental, social and corporate governance (ESG) principles and requirements and those that do not. .
Furthermore, in the case of refinancing, investors must be informed of the estimated portion thereof before each issuance. In any case, the retroactive refinancing period will never exceed 36 months before the date of issuance of each green financing or green bond.
To obtain this qualification, Audax Renovables has counted on Vigeo Eiris as an independent expert as it is one of the main independent international providers of valuation, research and opinion on environmental, social and governance (ESG) aspects for investors and public and private organizations. Vigeo Eiris has expressed a guarantee on the contribution to sustainable development of Audax Renovables' future financing instruments by issuing a Second Party Opinion (SPO) obtaining the highest level of guarantee. Vigeo Eiris issues its opinion on the issuer and with regard to its environmental and sustainable development commitments, as well as its ordinary activity and with regard to the management of the chosen projects.