DWF advises Neutral Capital Finance PLC on USD50m green Eurobond programme

DWF’s Debt Capital Markets team has advised Neutral Capital Finance PLC in its capacity as issuer of a green USD50m medium term note Eurobond programme.

The first 2019 series of Bonds for an amount of USD12m was issued by Neutral Capital Finance plc on April 12, 2019.  The programme is listed on the Frankfurt exchange with a rating of A-(sf) (ind) from ARC Ratings.

The Bonds will fund Neutral Fuels LLC’s expansion plans in the UAE and other appropriate jurisdictions in the Middle East, Asia and Africa and to build and operate a number of modular-based biodiesel production plants.  Neutral Fuels converts waste cooking oils and fats into European standard EN14214 compliant biofuel.

The DWF team was led by partner, Martin Pugsley, alongside Michael Byrne, Sophie Morris, Laurie Clay and Ade Olunowo in the London office and Umera Ali and Katrina Mackay in the Banking team from the firm’s Dubai office.

Martin Pugsley, head of financial services at DWF said, “We are pleased to advise Neutral Capital Finance on this significant green bond issue, which will open up lines of funding to Neutral Fuels to expand its growth of biodiesel production across the UAE and the Gulf. This transaction perfectly demonstrates our global debt capital markets credentials and specific expertise in the Financial Services sector.”

Thomas Lloyd-Jones, CEO of Zenzic Partners, who acted as arranger said, “We are pleased to have arranged the Neutral Capital Finance Plc transaction. The security of the structure focuses on the key strength of renewable energy companies, as a sector: the durable assets and long-term asset cash-flows generated by the installations, in this case operated by Neutral Fuels LLC; an extremely experienced operator in the sector.”