Optus, Singapore Telecommunications Z74 (Singtel) subsidiary in Australia, has priced a A$100 million ($90 million) 5-year fixed rate sustainability-linked bond (SLB) which will be issued on Apr 12.
Guaranteed by Optus and other subsidiaries, the Australian dollars-denominated SLB will carry a coupon of 4.577% per annum and will be drawn under Optus Finance’s A$3 billion Australian Debt Issuance Programme.
The notes will mature on Apr 12, 2028.
The coupon rate of the SLB will be subject to a step-up margin of 0.25% per annum from the interest period commencing Oct 12, 2025 if the stated greenhouse gas emissions target is not met.
The net proceeds from the issuance will be applied by Optus to fund its ordinary course of business, the company said in a filing.
Shares in Singtel closed 3 cents higher or 1.22% up on Apr 3 at $2.49.
