Masdar Raises $600 Million in First Blue Bond to Finance Offshore Wind Projects

Abu Dhabi-based renewable energy company Masdar has raised US$600 million through its first blue bond issuance to finance eligible maritime renewable energy projects, including offshore wind developments. Announced on 27 October 2026, the transaction represents the company's fourth bond offering under its US$6 billion Global Medium Term Note Program. The five-year bond received AA- credit ratings from S&P and Fitch, making it, according to Masdar, the highest-rated publicly issued corporate blue bond globally to date.

 

Masdar issued the bond on the London Stock Exchange's International Securities Market with a fixed US dollar coupon of 5.875%. Masdar subsequently swapped the financing into euros at a yield of 4.374%, aligning its funding with its European investment exposure. The offering attracted strong demand from regional and international investors, with the order book reaching US$1.5 billion, or 2.5 times the amount issued. The transaction brings Masdar's cumulative bond fundraising since 2023 to US$3.35 billion, supporting its continued expansion into international renewable energy markets.

 

Read more: Masdar Agrees to Acquire 550MW Solar Project in Greece, Plans Battery Storage

 

The issuance follows Masdar's September 2026 update to its Green Finance Framework, which expanded eligible investments to include blue projects associated with oceans and water resources. Under the framework, eligible projects must undergo environmental impact assessments designed to identify and minimize adverse effects on biodiversity. The updated framework is aligned with blue finance guidance from the International Capital Market Association (ICMA) and International Finance Corporation (IFC), and received Moody's highest Sustainability Quality Score of SQS1 (Excellent).

 

Mazin Khan, Masdar's Chief Financial Officer, said, "This benchmark offering will ensure capital can be delivered where it will have the most impact." The company has already allocated approximately US$2.3 billion from previous bond issuances to 30 renewable energy projects across 10 countries, representing more than 16 gigawatts (GW) of gross capacity as of the end of 2025. Masdar's broader renewable energy portfolio exceeds 65 GW, with the company targeting 100 GW of capacity by 2030.

 

The blue bond expands Masdar's sustainable financing strategy beyond conventional green bonds, creating a dedicated route for investment in ocean-related renewable energy infrastructure. Seven joint lead managers and bookrunners arranged the transaction, including BNP Paribas, HSBC, J.P. Morgan and Société Générale CIB. While the issuance creates a new source of capital for eligible projects, the company has not yet identified which specific offshore wind developments will receive proceeds or disclosed the environmental outcomes expected from the financing.

 

Source: Masdar