DP World has made history by issuing the first blue bonds in the Middle East, valued at $100 million. These bonds aim to fund sustainable projects focusing on maritime transport, port infrastructure, and combating marine pollution.
Bridging the Funding Gap
Through this issuance, DP World seeks to address the substantial funding gap for UN Sustainable Development Goal 14 (“Life Below Water”) and Goal 6 (“Clean Water and Sanitation”). The bonds represent a pioneering response to growing investor interest in blue assets, reflecting DP World’s commitment to leading the logistics sector and the region toward a more sustainable future.
Commitment to UN Principles
The initiative underscores DP World’s adherence to UN principles, including protecting marine ecosystems and ensuring clean water and sanitation.
The bonds are priced with a 5-year maturity at a spread of 99.6 basis points over US Treasury bonds, offering a 5.25% yield. This marks the lowest spread ever achieved by DP World in the bond market, showcasing the appeal of this innovative financial instrument.
Sustainable Environmental Impact
The bond proceeds will fund projects such as sustainable maritime transport and alternative energy technologies to reduce pollution. Previous DP World initiatives have included substantial investments in carbon emission reductions and renewable energy solutions.
Official Statements
- Sultan Ahmed Bin Sulayem, Chairman and CEO of DP World, emphasized the company’s commitment to sustainability in tackling environmental challenges.
- Rob Sharps, Chairman, CEO, and Head of T. Rowe Price, described the blue bonds as a compelling opportunity to achieve sustainable development goals while delivering attractive investment returns.