Symbiotics, the leading market access platform for impact investing, has arranged its first Sustainability Bond, that is also the first such bond in Armenia, by raising AMD 5,283,232,000 (USD 10,700,000) in local currency for ARMECONOMBANK OJSC (“AEB”).
This bond is issued via Symbiotics’ sponsored bond issuance platform (Micro, Small & Medium Enterprises Bonds S.A.) under its Sustainability, Social and Green Bond Framework, which was certified in December 2019 by DNV GL. The Sustainability Bond will be listed on the Luxembourg Green Exchange within the Sustainability Bond section. The Sustainability Bond proceeds are to be fully used towards a 4-year, senior unsecured, local currency loan to AEB.
AEB has a more than 20-year track record of receiving ear-marked funds from IFIs and DFIs within the scope of MSME-, agro- and women in business financing, while it has launched renewable energy and energy efficiency lending programs since 2015 and is committed to expanding its climate finance initiatives further.
The proceeds of the Sustainability Bond will be used to finance both social and green projects. Household, micro and SME finance are selected as eligible social project categories. During the tenor of the loan, AEB will strive to increase the allocation of the bond proceeds to the following eligible green projects: (i) energy efficient household appliances, (ii) energy efficient home improvements and (iii) solar panels. AEB will provide both use of proceeds and impact reporting per social and green category on an annual basis.
Link to: Issuance on the Luxembourg Stock Exchange
Link to: Sustainability Social and Green Bond framework for Symbiotics bonds
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About Symbiotics
Symbiotics is the leading market access platform for impact investing, dedicated to financing micro- small and medium enterprises and low- and middle-income households in emerging and frontier markets. Since 2005, Symbiotics has structured and originated some 4,000 deals for over 450 companies in almost 90 emerging and frontier markets representing more than USD 5.5 billion. These investments have been purchased by more than 25 fund mandates and more than 50 third party specialized fund managers, forming a growing ecosystem and marketplace for such transactions.
symbioticsgroup.com
About AEB
AEB is a universal commercial bank registered and licensed since 26 August 1991, that caters to households, MSMEs and corporate clients and offers a full range of banking products and services. Its mission is to contribute to the stability of the banking sector and to the economic development of Armenia through its activities. The bank has deep rural presence, covering the whole country via its 52 branches, to provide its clients’ various types of banking services. As of 3Q2020, AEB records Total Assets of AMD 319.1bn, Loan Investments of AMD 195.1bn, Total Liabilities of AMD 275.4bn, Equity of AMD 43.7bn and a Net Profit of AMD 4.3bn.
aeb.am
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For more information, contact:
Samy Derradji, Corporate Communication Manager, Symbiotics
samy.derradji@symbioticsgroup.com
Astghik Manrikyan, AEB Deputy CEO for International Banking and Development
manrikyan@aeb.am
