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Quanta Launches $10 Billion Green Bond Backed by Waste Heat Energy, Lists on Nasdaq Stockholm

Quanta Launches $10 Billion Green Bond Backed by Waste Heat Energy, Lists on Nasdaq Stockholm

Quanta Launches $10 Billion Green Bond Backed by Waste Heat Energy, Lists on Nasdaq Stockholm
  • $10 billion bond issuance targeting sustainable investors.
  • Significant climate impact: waste heat recovery technology proven more effective than direct emission cuts.
  • Projected annual revenue of $18.4 billion with net profits amplified by green economic incentives.

Quanta Global Capital Limited (“Quanta”) has announced a $10 billion green bond issuance, featuring a five-year maturity and an annual coupon of 7.5%. Structured into 100,000 Preferred Notes priced at $100,000 each, the notes will distribute interest payments annually every February.

The bond, soon to be listed on Nasdaq Stockholm, is secured by an AA-rated insurance wrap and thermoelectric waste heat recovery assets.

Quanta chose Nasdaq Stockholm for its global leadership position in sustainable bonds. According to Nasdaq, “Sustainable bonds now represent 36% of all new listed bonds in 2024 on Nasdaq’s Nordic and Baltic exchanges, compared to 31% the previous year.”

Highlighting the strategic alignment, Nasdaq further explains: “The United Nations Sustainable Development Goals (SDGs) play a central role in helping investors and issuers understand the impact of green investments, while also providing context for bond returns.”

Waste heat recovery technologies, such as Quanta’s Smart Thermoelectric Waste Heat Generator (STWHG), have significant potential to drive economic and environmental benefits. A McKinsey sustainability report emphasizes the scale of these benefits, revealing that achievable savings from waste heat recovery solutions match the annual cost of Europe’s natural gas imports.

RELATED ARTICLE: Iberdrola Issues €400 Million Share-Linked Green Bond

Further reinforcing the technology’s climate value, research by Environment Systems Research suggests that “the impact to global warming reductions from adopting waste heat recovery is greater than direct efforts to reduce greenhouse gas emissions.”

The STWHG technology has been rigorously tested and validated, promising substantial profitability with a payback period of just five years. The $10 billion investment raised through the bond issuance is projected to generate approximately $18.4 billion annually in electricity revenues. Combined with carbon credits, tax incentives, and other green energy inducements, net profit is anticipated to surpass revenue generated from electricity alone.

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