Republic of Indonesia’s First Sovereign SDG Eurobond

Allen & Overy has advised the Republic of Indonesia on the deal.

Republic of Indonesia (the Republic) on its issue of EUR500 million 1.300% bonds due 2034, the first-ever eurobond by a sovereign in Asia to finance the United Nations’ Sustainable Development Goals (SDGs) for global prosperity and wellbeing by 2030. The SDG bond was classified under the Republic’s “SDGs Government Securities Framework”, published in August 2021, which identifies “eligible expenditures” across green, blue and social-focus categories to help the Republic meet the United Nations’ SDGs.

Concurrently with the issue of the SDG bonds, the Republic issued USD600m 2.150% bonds due 2031 and USD650 million 3.200% bonds due 2061 to fund a USD1.25 billion tender offer for certain of the Republic’s global bonds maturing in the near-term. The SDG bond and bonds to fund the tender offer were issued in takedowns from the Republic’s shelf registration statement with the SEC.

The Allen & Overy’s team on this matter comprised partners Harun Reksodiputro (Picture) and Felipe Duque, along with senior associates Richele Suwita and Magdalena Biereder, and associates Randy Pongtiku and Sean Cao. Partner Jack Heinberg and associate Dustin Plotnick in our New York office advised on US federal tax matters.
 

Involved fees earner: Magdalena Biereder – Allen & Overy; Sean Cao – Allen & Overy; Felipe Duque – Allen & Overy; Jack Heinberg – Allen & Overy; Dustin Plotnick – Allen & Overy; Randy Pongtiku – Allen & Overy; Harun Reksodiputro – Allen & Overy; Richele Suwita – Allen & Overy;

Law Firms: Allen & Overy;

Clients: Republic of Indonesia;

Author: Sonia Carcano