RE Royalties Ltd (TSX.V: RE), a global leader in royalty-based financing for renewable energy, is pleased to announce the initial public offering of 5-year green bonds, for gross proceeds in aggregate principal amount of $10,000,000 (the “Green Bonds”).
The Company’s Green Bonds will be issued pursuant to available exemptions from the prospectus requirement, including the offering memorandum exemption, and will be subject to a minimum offering size of $2,000,000.
The Green Bonds have a principal amount of $1,000 and bear interest at a rate of 6% per annum, payable quarterly, and are senior secured by the Company’s royalty and loan portfolio.
The minimum investment amount is $5,000 and green bonds are eligible for all registered accounts, including but not limited to RRSP, TFSA and RESP accounts.
About RE Royalties Ltd
RE Royalties acquires revenue-based royalties from renewable energy production facilities by providing a non-dilutive financing solution to privately held and publicly traded renewable energy production and development companies.
The Company currently holds 86 royalties on solar, wind and hydroelectric projects in Canada, Europe and the United States.
The Company’s business objectives are to provide shareholders with high growth returns, strong capital protection, a high growth rate through reinvestment and a sustainable investment orientation.
About Integral Wealth Securities Limited
Integral Wealth Securities is a full-service investment dealer engaged in wealth management, market making and investment banking. The firm operates from eight offices, including Toronto, Calgary, Ottawa and Vancouver.
The green bond offering will be led by Integral Wealth Securities Limited (the “Chief Agent“). The Company has also granted the lead agent an over-allotment option of up to 100% of the offering size, for a total green bond offering of $20,000,000.
The Green Bonds, subject to approval by the TSX Venture Exchange, will close in monthly tranches with the initial closing expected to occur on or about September 30, 2020.
The net proceeds from the green bonds will be used to finance or refinance renewable and sustainable energy projects that will reduce or offset greenhouse gas (GHG) emissions and help mitigate the impact of climate change.
The Company has prepared a Green Bond Framework that is aligned with the International Capital Market Association Green Bond Principles (2018), which framework is available on the Company’s website, here.
“Our inaugural green bond offering marks a major milestone and will benefit our investors, customers and the environment,” said Bernard Tan, chief executive officer of RE Royalties. “This will help meet the growing demand from investors looking to make a difference with their investments by financing clean energy projects that will strengthen and build a more sustainable future. »
