Linklaters provides legal advice to the OPEC Fund for International Development on the debut issuance of its $1bn sustainability bonds
Linklaters provided legal advice to the OPEC Fund for International Development in relation to its inaugural benchmark Rule 144A issuance of $1bn 4.5% bonds due 2026 under its Global Medium Term Note Programme. An amount equivalent to the net proceeds of the bonds is to be applied to finance and/or refinance, in whole or in part, new or existing eligible sustainable development goal (SDG) loans contributing to the OPEC Fund and borrower social development goals and with social and/or green benefits, as further described in the OPEC Fund’s SDG Bond Framework.
The transaction was supported by a cross-border and cross-practice Linklaters team, with a total of over 25 colleagues working on the transaction and related engagements for over two years, led by capital markets partners Cecil Quillen, Richard O'Callaghan and Arjun Muddu as well as counsel Rory Renshaw, with support from associates Jonathan Whitcomb, Liam Jenkins and Cassandra Dula.
Martine Mills, OPEC Fund Head of Funding, said:
"This bond pricing is a major milestone for the OPEC Fund and the culmination of several years of intensive work. The success of our debut bond in the current market environment is a testament to the strength of our credit. We are pleased to join the community of multilateral development banks issuing in the capital markets. This is an important step in the establishment of our borrowing programme and we look forward to continuing our engagement with investors going forward."
Cecil Quillen, a US partner in the capital markets practice, said:
"We were delighted to be involved in this very interesting transaction and to use our market leading capital markets expertise to help deliver a successful outcome for our client, the OPEC Fund."
From debt and equity issues through to derivatives and structured finance, Linklaters’ market-leading capital markets practice advises on the full range of UK, US and domestic laws through its global team, combining technical expertise and a wealth of experience with regular contact with listing authorities and regulators. Recent deals include advising Credit Suisse and Citi on the World Bank's Wildlife Conservation Bond, the Republic of Chile on ground-breaking sovereign sustainability-linked bond and three lenders on their investment into the Recovery Loan Fund.
Linklaters also has expertise across geographies and sectors to advise clients on the full spectrum of climate and sustainability-related issues, from wind and solar, hydrogen and batteries to green and sustainability-linked finance.
