MAERSK, the world's biggest shipping company, has issued its first ever green bond in a sale that drew more interest than any other in Europe's debt market, reports Bloomberg.
The company said it has no need of the money plans to spend the proceeds on a small feeder vessel and eight large methanol-fuelled ships ordered earlier this year.
"There's not a need to raise new debt," said Maersk treasury chief Niclas Erlandson. "The timing is related to the investments we are doing in our decarbonisation, which is a reflection of the company's strategy, rather than current market conditions."
Copenhagen-based Maersk raised EUR500 million (US$566 million) at a record-low coupon of 0.75 per cent, the first time since 2018 that the company has turned to the euro debt.
CEO Soren Skou said this month that Maersk will probably be able to achieve carbon neutrality earlier than its current 2050 target.
Future green deals will gradually help wean the company off fossil fuels," said Mr Erlandson. "We have an ambition to continue to expand our green bond portfolio, to assess each individual issuance on a case by case basis."