TORONTO, April 17,
2024 /CNW/ - Scotiabank has issued its inaugural
EUR 1 billion, 5-year senior fixed
rate Green Bond (the "EUR Green Bond") in the European market
pursuant to Scotiabank's Sustainable Issuance
Framework released on April 5,
2024 (the "Framework"). Scotiabank intends to allocate, in
accordance with the Framework, an amount equal to the net proceeds
from the EUR Green Bond offering to finance and/or refinance, in
part or in full, new, or existing Eligible Green Assets (as defined
in the Framework).
The EUR Green Bond represents the largest green or
sustainability bond offering by a Canadian financial or corporate
to date. This offering is aligned with Scotiabank's view that
financial institutions can play an important role in providing
financial products and services that aim to incentivize innovation
in a world increasingly affected by climate change.
"This is Scotiabank's fourth green or sustainability labeled
benchmark bond, and our first in Europe," said Paul Scurfield, Global
Head, Capital Markets, Global Banking and Markets at Scotiabank.
"We believe it represents a step forward for our sustainable
finance program and we are proud to demonstrate Scotiabank's
ongoing interest to play a leading role in sustainable finance
across our global markets."
The bond was issued under the Framework, which replaces the
Bank's Sustainable Bond Framework released in 2021. Updates to the
Framework include the expansion of instruments that can be issued
to raise sustainable financing, and additional Eligible Green and
Social categories (each as defined in the Framework) to which such
financing can be allocated, including: Nuclear Energy, Circular
Economy, Climate Adaptation and Food Security & Sustainable
Food Systems. The Framework received a Second Party Opinion from
Moody's Investors Service, which assigned a Sustainability
Quality Score of SQS2 (Very Good).
In addition to the EUR Green Bond, Scotiabank released another
inaugural sustainable finance product governed by the
Framework. On April 8th,
Scotiabank launched its first Sustainability GIC for retail and
small business clients. The use-of-proceeds deposit product is a
30-month non-redeemable GIC that will be allocated, in accordance
with the Framework, to fund the financing or refinancing, in whole
or in part, of new or existing Eligible Green and Social Assets (as
defined in the Framework).
"Scotiabank is delighted to achieve these milestones from a
funding program and diversification perspective," said Martin
Weeks, Executive Vice President & Group Treasurer,
Scotiabank. "This new Framework enables the Bank to use the
proceeds from eligible products to support a broader range of Green
and Social Assets and support the Bank in its sustainability
initiatives."
"At Scotiabank, we are engaging collaboratively with our
stakeholders to develop and invest in initiatives that aim to
contribute to important sustainability outcomes. By continuing to
evolve our own Framework as we deliver innovative financing
products, we are working towards the goal of a more sustainable
future," said Meigan Terry, SVP and
Chief Sustainability, Social Impact and Communications Officer at
Scotiabank.
About Scotiabank
Scotiabank's vision is to be our clients' most trusted financial
partner, to deliver sustainable, profitable growth and maximize
total shareholder return. Guided by our purpose: "for every
future," we help our clients, their families and their communities
achieve success through a broad range of advice, products, and
services, including personal and commercial banking, wealth
management and private banking, corporate and investment banking,
and capital markets. With assets of approximately $1.4
trillion (as at January 31, 2024), Scotiabank trades on
the Toronto Stock Exchange (TSX: BNS) and New York Stock Exchange
(NYSE: BNS). For more information, please
visit http://www.scotiabank.com and follow us on X
@Scotiabank.
SOURCE Scotiabank