Water management and services provider Saur announced that it has priced its inaugural blue bond for €550 million to finance initiatives related to sustainable water management.

Based in France, Saur operates in 20 countries, with services including providing drinking water, purifying wastewater, and developing water management infrastructure. The company is the first French corporate and first European water utility to issue a blue bond. Similar in nature to a green bond, which has use of proceeds requirements focused on environmental sustainability, blue bonds raise capital to finance the projects contributing to water sustainability such as the preservation of water resources.

Proceeds from the blue bond will be used to finance new or existing eligible blue projects as defined in the company’s Green & Blue Financing Framework. According to the company initiatives supported through the issuance will include the production and distribution of water, collection and treatment of wastewater, and desalination of water using technologies aimed at minimizing environmental impact.

Patrick Blethon, Executive Chairman of the Saur Group, said:

“By becoming the first issuer of Blue Bonds in the water sector, Saur affirms its leadership and visionary commitment to more sustainable water resource management. This operation sends a clear message to our partners and investors: at Saur, innovation and environmental responsibility are the drivers of our growth.”

Global Coordinators and Joint Bookrunners on the transaction included BNP Paribas, Crédit Agricole Corporate and Investment Bank, Morgan Stanley Europe SE and Natixis CIB, with HSBC and Société Générale Corporate & Investment Banking acting as Joint Bookrunners.

The Global Coordinators said:

“We are thrilled to have supported Saur in launching this innovative blue bond, which highlights the critical importance of water preservation while meeting strong investor demand for impactful environmental solutions.”