Brookfield Renewable's Green Bond: A Step Towards Net-Zero

In a strategic move towards a more sustainable future, Brookfield Renewable, a leading global renewable power and transition company, announced its plans to issue C$200 million of green subordinated hybrid notes. This issuance, Brookfield's fifteenth green labelled corporate securities issuance in North America, aligns with its commitment to sustainable investing and reducing its carbon footprint. Let's delve into the details of this announcement and its implications for Brookfield Renewable and the wider renewable energy sector.

Brookfield Renewable's green subordinated hybrid notes, with an annual interest rate of 5.450% and a reset every five years, are part of the company's 2024 Green Financing Framework. These notes will be issued pursuant to a base shelf prospectus dated September 8, 2023, and a related prospectus supplement to be dated December 9, 2024. The issue is expected to close on or about December 12, 2024, subject to customary closing conditions.

The proceeds from this issuance will be used to fund Eligible Investments under Brookfield Renewable's 2024 Green Financing Framework. These investments align with the company's commitment to sustainable development and include projects like renewable energy generation, energy storage, and carbon capture and storage (CCS) initiatives. This issuance is a testament to Brookfield Renewable's dedication to financing eligible investments that contribute to a lower carbon economy.



The Hybrid Notes will receive the same rating treatment as Brookfield Renewable's preferred shares and preferred units, indicating a solid credit profile. This rating treatment aligns with Brookfield Renewable's commitment to sustainability, reflecting its dedication to financing eligible investments that contribute to a lower carbon economy.

In conclusion, Brookfield Renewable's issuance of C$200 million of green subordinated hybrid notes signifies a strategic move towards a more sustainable future. By issuing these notes, Brookfield Renewable is raising capital earmarked for eligible investments under its 2024 Green Financing Framework. This issuance is another step in the company's broader strategy to accelerate the energy transition and enhance asset values. As the global demand for renewable energy continues to grow, companies like Brookfield Renewable play a crucial role in driving the transition to a more sustainable energy landscape.