Published: 2021-09-02 07:49:08 CEST
Attīstības finanšu institūcija Altum
Other information disclosed according to the rules of the Exchange

JSC Development Finance Institution Altum Group Green Bonds Investor Report as at 30 June 2021

Inside information, 2021-09-02 07:49 CEST -- As at 30 June 2021 JSC Development Finance Institution Altum Group (hereinafter – ALTUM) has committed a total of 18.1 million euros for 40 green projects funded by the Green Bonds proceeds issued in autumn 2017. Projects funded by Green Bonds are estimated in total to generate an annual reduction in GHG emissions corresponding to 7 945 tonnes CO2.

In October 2017, ALTUM became the first development bank in Eastern Europe to issue the Green Bonds. The proceeds from the issuance of Green Bonds are invested in accordance with ALTUM Green Bond Framework which has Medium Dark Green shading from CICERO on 29 September 2017.

Reinis Bērziņš, Chairman of the Board of ALTUM:

Funding provided by ALTUM Green Bonds in Latvia has reached a broader coverage of environmentally-friendly projects. The projects funded so far every year will reduce almost 8,000 tons of CO2 emissions, with the biggest share in the energy efficiency segment, and this volume is growing with every new project. We can be proud of comparatively large CO2 reduced per every million euro invested in the environmentally-friendly projects, and we see a potential for further growth. Almost 30% of the projects funded by Green Bonds involve upgrade of centralized heating systems. The important aspect is that these projects often are implemented in small villages outside cities, thus, ensuring environmentally-friendly heating energy to a large number of public and residential buildings in the village. Thanks to availability of ALTUM Green Bonds funding in the segments of renewables and energy efficiency in Latvia, the ESCO concept, that includes a combination of know-how and financing, broadly used in Europe, is now becoming more popular also in Latvia. For example, currently, every fourth municipality has used the opportunity “lighting as outsourced service”, cooperating with some of energy service companies funded by ALTUM. Significant contribution along with impact upon climate change but also promoting broader use of environmentally friendly transport, is ensured by Sustainable transportation projects.” 

JSC Development Finance Institution Altum is a Latvia state-owned company that ensures access of the enterprises and households to the financial resources by means of support financial instruments - loans, guarantees, investments in venture capital funds - in the areas defined as important and to be supported by the state, thus developing the national economy and enhancing mobilization of the private capital and financial resources. On 25 March 2019 Moody’s Investors Service (Moody’s) reconfirmed Altum’s Baa1 long-term issuer rating, with outlook stable. The baseline credit assessment (BCA) was upgraded to investment grade rating baa3. The assigned Moody’s rating of Altum is one of the highest credit ratings assigned to corporate entities in Latvia. On 24 October 2017 the bonds issued by Altum were listed on a regulated market – Baltic Bond List of Nasdaq Riga. 

         Laura Lapkovska
         AS Attīstības finanšu institūcija Altum Investors Relationships Division
         Tel.: +371 67774023, +371 26165699

Altum_Green Bonds Investor Report_30 June 2021.pdf