Canadian-based financial institution CIBC announced the launch of its inaugural green bond issue, in a $500 million offering. The company stated that proceeds from the five-year bond will help finance new and existing green projects, assets, and businesses that mitigate the risks and effects of climate change.
Roman Dubczak, Managing Director and Head, Global Investment Banking, CIBC Capital Markets, said:
“As a leading renewables financer and advisor in North America, we are proud to help mobilize capital and develop market-based solutions to support investments that shape a more sustainable future. Our clients are increasingly investing in the sustainability of their operations, and our green bond issuance supports these efforts while meeting the growing demand for environmentally responsible investments.”
The new bond is being issued under CIBC’s green bond framework, launched by the bank in March 2020. The framework, which has been reviewed by ESG services and information provider Sustainalytics, outlines the eligible criteria for projects that can be financed by green bond proceeds, with categories including renewable energy, energy efficiency, pollution prevention and control, clean transportation, biodiversity, green buildings, and sustainable water, among others.
Peter Levitt, Executive Vice President and Treasurer, CIBC, said:
“Our bank recognizes the positive role that financial institutions can play in supporting a greener future. We are committed to enabling sustainable growth in our economy, and today’s green bond issuance is another step in support of this objective.”