Dutch Green Business Group N.V. (“DGB” or “the Group”) (Euronext: DGB: NL0009169515), a leading carbon project developer and ecosystem restoration company, announces the launch of a new €2.0 million capital raise via a placement of a green bonds.
Investors will receive a return of 8% per annum and have the bonds has a maturity of 4 years. The interest is paid quarterly in arrears.
DGB is a project developer of high-quality large- scale carbon and biodiversity projects accredited by third parties. Proceeds from this green impact bond will be invested in the Group’s project pipeline. DGB recently announced that four of its projects entered the development phase:
- The DGB Cameroon Afforestation Project, for which DGB has the right to receive 100% of the carbon credits originated and has exclusive carbon and marketing rights, is expected to create over 5.1 million credits over its 30-year project lifetime (approximately 175,00 carbon credits per annum).
- The Sawa Cookstove Project, for which DGB has the right to receive 100% of the carbon credits originated and has exclusive carbon and marketing rights, is expected to create over 1.8 million credits over its 6-year project lifetime (approximately 300,00 carbon credits per annum).
- The DGB Hongera Afforestation Project, for which DGB has the right to receive 100% of the carbon credits originated and has exclusive carbon and marketing rights, is expected to create over 7 million credits over its 30-year project lifetime (approximately 225,000 carbon credits per annum).
- The Hongera Energy Efficient Cookstove Project, for which DGB has the right to receive 100% of the carbon credits originated and has exclusive carbon and marketing rights, is expected to create over 1.8 million credits over its 6-year project lifetime (approximately 300,000 carbon credits per annum).
The expected total development costs by DGB over the next 3 years are EUR 7.4 million for the projects in Kenya and €5.6 million for both projects in Cameroon.
Global megatrends drive the demand for carbon credits and underpin the growth opportunities. The current index price for a Nature Based Carbon Offset Credit in the voluntary carbon markets is $11,14.
DGB finances its projects through:
- entering into long-term offtake agreements for future credits. A long-term offtake agreement is a legal contract in which a buyer agrees to purchase a set amount of carbon credits at set price points at a set time into the future;
- reinvesting most of the carbon credit revenues from running projects into new project developments; and
- offering project-specific investment opportunities to investors, such as its green impact bonds.
At the start of the bonds, already € 450.000 is subscribed for. The Board of Directors is delighted with these indications of support for this green bond raise as it reflects the shared confidence that investors have in the business.
Investors can participate in the Convertible Green Impact Bonds via https://www.dgb.earth/investing-green-business
DGB GROUP NV
Dutch Green Business Group N.V. is a public company traded on the main Dutch stock exchange Euronext Amsterdam under the ticker symbol AEX:DGB and ISIN-code NL0009169515. DGB’s strategy is to participate in large forest carbon offset projects around the world that deliver commercial and environmental benefits. DGB’s vision is to be a leading high-impact investor in sustainably managed forests by providing competitive real investment returns for shareholders combined with high social impact. www.dgb.earth
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