AXA’s EUR1 Billion Subordinated Green Bonds Offer

AXA’s EUR1 Billion Subordinated Green Bonds Offer

Allen & Overy advised the bank consortium on AXA’s issue of subordinated green bonds. While White & Case advised AXA.

The consortium consists of BNP Paribas, Crédit Agricole Corporate and Investment Bank as Global Coordinators, Green Structuring Advisors and Joint Lead Managers, as well as Citigroup, HSBC, NATIXIS and Société Générale Corporate & Investment Banking as Joint Lead Managers.

This is AXA’s inaugural green subordinated bond issuance targetting institutional investors and maturing in 2041. The initial fixed coupon has been set at 1.375% per annum until the first call date (October 2031), thereafter it will bear interest at a floating rate.

Investor demand was strong with more than 100 institutional investors participating, including asset managers, insurers and pension funds across Europe.

The transaction is structured for the bonds to be eligible as Tier 2 capital under Solvency II.The bonds, issued on 7 April , 2021, are admitted to trading on the Luxembourg Stock Exchange’s regulated market.

This transaction involved lawyers from Allen & Overy’s Paris and London offices, with a cross-border team led by ICM partner Hervé Ekué (Picture), of Counsel Dan Lauder and senior associate Luke Thorne, supported by associate Laure Bellenger.

The White & Case team included Grégoire Karila.

Involved fees earner: Laure Bellenger – Allen & Overy; Hervé Ekué – Allen & Overy; Dan Lauder – Allen & Overy; Luke Thorne – Allen & Overy; Grégoire Karila – White & Case;

Law Firms: Allen & Overy; White & Case;

Clients: AXA Banque SA; BNP Paribas; Citigroup Inc.; Crédit Agricole Corporate and Investment Bank; HSBC; Natixis; Société Générale Corporate & Investment Banking;

Author: Federica Tiefenthaler