Photo: Masdar

BAKU, Azerbaijan, October 27. Masdar, a global clean energy company based in the UAE, has issued its first blue bond, raising $600 million to finance eligible water-related sustainable projects, including offshore wind, the company said in a statement on October 27.

The five-year bond was issued under Masdar’s $6 billion Global Medium Term Note Programme and carries a coupon of 5.875% in US dollars. It was listed on the London Stock Exchange’s International Securities Market and received AA- ratings from S&P and Fitch.

The bond was swapped into euros at a yield of 4.374%, aligning the company’s funding with its investment exposure in Europe. Investor demand reached $1.5 billion at its peak, making the issue 2.5 times oversubscribed despite challenging market conditions.

Masdar updated its Green Finance Framework in September 2026 to include eligible blue projects, allowing it to direct capital toward initiatives that support the sustainable use of oceans and water resources. Such projects must undergo comprehensive impact assessments to minimize adverse effects on biodiversity.

“For two decades, Masdar has been a driving force in the development, deployment and commercialization of renewable energy solutions across the world. Our first blue bond issuance under our updated Green Finance Framework provides yet more opportunities for investors to join us in building the clean energy system of the future,” said Mazin Khan, chief financial officer of Masdar.

He added that the bond would help channel capital toward projects supporting a more resilient blue and green economy.

Masdar has raised $2.75 billion through its bond programme since 2023. As of the end of 2025, $2.3 billion had been allocated to 30 renewable energy projects across 10 countries, with a combined gross capacity exceeding 16 gigawatts.

The company’s updated Green Finance Framework is aligned with blue finance guidance from the International Capital Market Association and the International Finance Corporation. Moody’s assigned the framework an SQS1 (Excellent) rating, its highest Sustainability Quality Score.

Masdar has a renewable energy portfolio exceeding 65 GW across solar, onshore and offshore wind, battery storage and hybrid solutions. The company aims to reach 100 GW of capacity by 2030.