Colonial is launching a €500 million green bond issue

Colonial SFL has launched a senior unsecured green bond issue with an expected value of €500 million and a maturity of five years, i.e. in April 2031, according to information submitted to the Spanish National Securities Market Commission (CNMV). The company has already opened the order book at an indicative price of mid-swap plus 135 basis points, targeting qualified investors. It will pay a fixed annual coupon and will be listed on the regulated market of Euronext Dublin.
 
Colonial SFL is rated ‘Baa1’ with a ‘stable’ outlook by Moody’s, and ‘BBB+’, also with a ‘stable’ outlook, by S&P Global Ratings. The new issue is expected to receive a ‘BBB+’ rating from S&P, in line with the SOCIMI’s credit profile.
 
The transaction marks Colonial’s first foray into the Eurobond market so far this year, following the September 2025 issue of an €800 million green bond maturing in 2031 with a coupon of 3.125%. The net proceeds from this new placement will be used to finance or refinance eligible green assets (Eligible Green Assets) in accordance with Colonial’s green bond framework.
 
BNP Paribas, CaixaBank, Crédit Agricole CIB, IMI-Intesa Sanpaolo and Natixis are acting as lead managers for the transaction. The closing and disbursement of the transaction is scheduled for 8 April 2026.
 
Over the 12-month period of 2025 financial year, the company (now renamed Colonial SFL following its merger with its former French subsidiary) posted a profit of €344 million, up 12%. A significant portion of these profits stems from the revaluation of its asset portfolio, comprising mainly office buildings located in Paris, Barcelona and Madrid, valued at €12.203 billion, a 3% increase on a like-for-like basis (based on the same floor area).
 
Recurring net profit stood at €211 million in 2025, representing a year-on-year increase of 9%. “Both net profit and recurring profit figures are at the upper end of the financial targets we set for this financial year,” commented Juan José Brugera, Chairman of Colonial SFL, during the results presentation. Rental income amounted to €399 million, with like-for-like growth of 6%.