NBN Co inaugural A$ 10yr fixed sustainability MTN

NBN Co has issued its inaugural A$750 million 10-year fixed-rate Sustainability Medium-Term Note (MTN) under its A$10 billion AMTN Programme, settling on 6 March 2025 according to company statements. This transaction, one of the largest Australian Dollar-denominated 10-year Green Bonds issued by an Australian corporate, underscores the company's commitment to sustainability-linked financing. Proceeds will be allocated to eligible green projects aligned with NBN Co's Sustainability Bond Framework, focusing on energy-efficient network upgrades and renewable energy initiatives.

The bond expands NBN Co's total outstanding green and sustainable financing to A$7.4 billion, reinforcing its position as Australia's largest corporate issuer in this format. Fiona Trigona, Executive General Manager and Group Treasurer, highlighted the transaction's significance in advancing the company's sustainability goals, including net-zero emissions by 2045. Philip Knox, CFO, noted that the issuance was bolstered by NBN Co's provisional ESG rating of (p) 'AA'1 from MSCI, reflecting strong investor confidence in its environmental and governance credentials.

This issuance follows a series of green and sustainability bond transactions since 2022, including a EUR 700 million Sustainability Bond in May 2025. The A$750 million MTN further diversifies NBN Co's investor base and supports its network upgrades, which aim to enhance digital inclusion and reduce carbon emissions through energy-efficient technologies. The company's sustainability initiatives, including renewable energy procurement and network modernization, are validated by frameworks endorsed by Sustainalytics and the Science Based Targets initiative (SBTi).

By prioritizing green financing, NBN Co aligns its operations with global climate goals while addressing Australia's evolving digital infrastructure needs.