• PKO Bank Hipoteczny will offer investors green covered bonds for the second time.
  • The value of the issue will amount to PLN 250 million and the maturity date of green covered bonds will be 2 December 2024.
  • Spread over WIBOR 3M of 51 bps was set in the book building process which was conducted on 27 November 2019.

PKO Bank Hipoteczny as a continuation of raising funds for the financing and refinancing of energy efficient residential properties will issue another Green covered bonds denominated in PLN.

As part of its portfolio of residential mortgage loans, PKO Bank Hipoteczny identifies the assets meeting the criteria for low-carbon emission residential buildings in Poland worth several billion zlotys. Therefore, the proceeds from the issue of green covered bonds will be used to refinance existing long-term mortgages for the residential properties with high energy efficiency.

Green covered bonds issued by PKO Bank Hipoteczny are certified by the international organization Climate Bond Initiative, confirming compliance with the highest standards in terms of positive impact on the environment.

- PKO Bank Hipoteczny, as the largest mortgage bank and the most active issuer of mortgage covered bonds in Poland, supports the development of innovative solutions that respond to the needs of both society and the natural environment. Inspired by the lack of widely available financial instruments supporting energy-saving solutions in housing, in August this year we introduced a special mortgage loan offer for customers who submit an energy performance certificate. As part of this offer, the Bank provides financing on preferential terms. In this way, we promote the financing of premises and buildings with higher energy efficiency. We believe that our activities contribute to encouraging an environmentally friendly attitude on the market and a positive impact on the environment - says Paulina Strugała, CEO of PKO Bank Hipoteczny

20 investors have submitted declarations regarding the purchase of green covered bonds of PKO Bank Hipoteczny for a total amount above PLN 450 million.

- We would like to thank our investors who have trusted PKO Bank Hipoteczny and invest in our covered bonds, including the green issues. The Polish market and Polish investors are particularly important to us, which is why we have offered green covered bonds for the second time this year, maintaining the position of market leader among mortgage banks as an issuer of both traditional and green covered bonds - added Paulina Strugała

The principles followed by the Bank for issuing green covered bonds are set out in the Green Covered Bond Framework (“GCBF”), which was created in accordance with Green Bond Principles 2018 guidelines developed by the International Capital Market Association to promote integrity in the development of the green bond market.

The compliance of PKO Bank Hipoteczny’s GCBF with Green Bond Principles is confirmed by Sustainalytics – the certified international agency.

According to the rules adopted in the GCBF, within one year from the date of issue of green covered bonds, PKO Bank Hipoteczny publishes, on its website, the reports on the allocation of funds raised under the green covered bond issue.

The criteria for the assessment and selection of green assets, previously developed by PKO Bank Hipoteczny have been accepted by the international Climate Bonds Initiative under their Low Carbon Buildings Criteria and serve as a benchmark for energy-efficient residential properties market in Poland.

EEM: a pan-European project with the participation of PKO Bank Polski and PKO Bank Hipoteczny

PKO Bank Polski and PKO Bank Hipoteczny, actively participate in Energy Efficient Mortgages (EEM) project.

The project aims to create standardized, pan-European solutions for mortgage loans for housing and home financing, including energy-efficient solutions.