SSE PLC's subsidiary, SSEN Transmission, has issued a 750 million euro green bond, the company said Tuesday.
The issuance comes after the British energy company announced in May it was cutting its five-year investment plan, including a 1.5 billion British Pounds reduction in spending on renewables to increase its focus on regulated electricity networks.
Proceeds from the new bond will help finance upgrades to the transmission network in the north of Scotland, which is part of a larger investment program of over 22 billion British Pounds, according to the company.
The eight-year bond has a fixed coupon of 3.375% and has been swapped to Sterling for an all-in funding cost of 5.23%, the company said.
This is SSE's tenth green bond, bringing the group's total outstanding to 5.5 billion British Pounds.
"SSE is at the heart of the clean energy transition, investing in high-quality assets across the Group," said Chief Financial Officer Barry O'Regan.
"Our transmission business is growing rapidly and this bond offers yet another attractive proposition to investors looking to finance green infrastructure."
SSEN Transmission is responsible for connecting new renewable energy generation and transporting the power to demand centers.
More from this issuer
Related coverage
SSE PLC announced a 33 billion British Pounds five-year investment plan to upgrade the U.K.'s energy infrastructure, tripling its previous spending levels.
SSE PLC said Wednesday it has successfully raised approximately 2 billion British Pounds through a sale of new shares to help fund a major expansion of the U.K.'s electricity grid.
SSE PLC launched a 33 billion British Pounds five-year investment plan and will raise approximately 2 billion British Pounds in an equity sale to help fund it, the company said Wednesday.
SSE on Wednesday announced a plan to triple its investment in UK energy infrastructure to 33 billion British Pounds over five years, focusing heavily on upgrading the country's electricity networks.