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P World’s $100 million blue bond funds projects in maritime transport, port infrastructure, and ecosystem conservation.
The bond supports the UN’s SDG 14 (Life Below Water) and SDG 6 (Clean Water and Sanitation).
Offered at a coupon rate of 5.25%, it highlights investor confidence in sustainable blue economy initiatives.
DP World has become the first company in the Middle East and North Africa (MENA) region to issue a blue bond, raising $100 million for sustainable maritime and water-related projects. The bond aligns with DP World’s ocean strategy, long-standing decarbonization efforts, and water management initiatives, supporting global trade and environmental stewardship.
“As a responsible leader in global trade, we are committed to preserving the ocean’s ability to sustain future generations,” said Sultan Ahmed bin Sulayem, Group Chairman and CEO of DP World.
The five-year bond, with a coupon rate of 5.25%, targets projects such as:
- Sustainable Maritime Transport: Research and development of alternative fuels to reduce marine pollution.
- Sustainable Port Development: Upgrading infrastructure to minimize environmental and noise impacts.
- Marine Ecosystem Conservation: Nature-based solutions to restore marine ecosystems and enhance biodiversity.
- Marine Pollution Management: Tackling coastal and marine waste while improving water quality.
Related article: IFC supports SeABank with $150 million to launch Vietnam’s first blue bond and advance climate financing.
Investor Confidence:
Investment firm T. Rowe Price Associates served as the lead investor. “This innovative transaction channels capital toward the UN’s SDG 14 while delivering attractive investment returns,” said Rob Sharps, CEO of T. Rowe Price Group.
Citigroup also played a key role as financial advisor for the issuance.
Key Sustainability Milestones:
The success of the bond builds on DP World’s recent Green Sukuk Impact and Allocation Report, where $1.17 billion of the $1.5 billion raised was allocated to eligible green projects. This resulted in the avoidance of 177 million kg of CO2 emissions and significant energy savings.
A Model for the Future:
This groundbreaking issuance sets a precedent for sustainable financing in the region, showcasing how businesses can align profitability with environmental impact. “We hope this transaction can serve as a model for other issuers and investors to support the blue economy,” added Rob Sharps.
Source; esgnews
