Diversified financial services company PNC Financial Services Group announced today the closing of its inaugural $700 million social bond issue, with proceeds aimed at funding projects promoting positive social outcomes, such as affordable housing and access to education.

The bonds were issued under PNC’s Sustainable Financing Bond Framework, which outlines eligible categories for use of proceeds from green, social and sustainability bonds, along with the processes used for project evaluation and selection and reporting requirements. Eligible categories for social bonds include Affordable Housing, such as financing the acquisition or construction of homes for below-median income families; Access to Essential Services, including investments and loans supporting access to education, healthcare and other basic needs, and; Socioeconomic Advancement and Empowerment, with investments aimed at reducing income inequality or supporting employment in low and moderate income (LMI) communities and minority areas.

Kristi Eberhardt, head of PNC’s Sustainable Finance Practice, said:

“PNC is committed to advancing and improving the communities we serve and building a more equitable and inclusive future for all. This social bond issuance builds on existing initiatives already underway, particularly those in our Community Benefits Plan, and presents an opportunity to increase our efforts in helping all move forward financially. We’re looking forward to building on this momentum and supporting our clients as they consider sustainable finance options.”

To underwrite the offering, PNC tapped a group of four brokers whose owners are people of color, women or service-disabled veterans. PNC Capital Markets led the issuance, with co-managers Academy Securities, Inc, Loop Capital Markets LLC, Samuel A. Ramirez & Company, Inc. and Siebert Williams Shank & Co. LLC.

Randall King, Executive Vice President and PNC Treasurer, said:

“This is another exciting opportunity to illustrate how our ESG commitments are woven into day-to-day operations and how we go to market at PNC.”