Argan, a French logistics real estate firm, has successfully issued its first green bond, raising €500 million. The bond, which matures in October 2029, was 5.5 times oversubscribed and priced with a 3.779 percent annual coupon. Proceeds will be used to refinance a 2021 bond and support the development of its portfolio of energy-efficient warehouses.
French real estate company Argan on Thursday raised €500 million in its inaugural green bond issuance, a move that strengthens its financial structure for medium-term growth. The bond, maturing in October 2029, priced with an annual coupon of 3.779 percent, reflecting strong investor appetite for sustainable debt instruments in the property sector.
The offering attracted significant interest from a broad range of French and international institutional investors, leading to the deal being 5.5 times oversubscribed. This reception demonstrates investor confidence in Argan's credit profile, which is rated BBB- with a stable outlook by S&P, and the environmental quality of its asset portfolio.
The new green bonds are scheduled for settlement on April 30, 2026, and will be admitted to trading on Euronext Paris. The proceeds are designated to repay a €500 million bond from 2021, ensuring alignment with Argan's Green Financing Framework. J.P. Morgan and Crédit Agricole CIB acted as green bond structurers for the transaction.
This transaction provides Argan with the capital to confidently continue its strategy focused on developing and renting premium warehouses. The company specializes in "Au0nom®" labeled warehouses that produce their own energy for self-consumption, a key part of its ESG policy. As of the end of 2025, Argan's portfolio of over 100 warehouses was valued at €4.1 billion.
This article is for informational purposes only and does not constitute investment advice.
