TISE listings support decarbonisation of VMED O2

Wednesday, 13 Oct 2021

The International Stock Exchange (TISE) has listed two green bonds which are helping to finance the decarbonisation of telecommunications company VMED O2 UK Limited (VMED O2).

The two bonds have been listed on TISE’s Qualified Investor Bond Market (QIBM) and admitted to its sustainable market segment, TISE Sustainable.

Anthony Byrne, Head of Bond Markets at TISE, said: “I am delighted to welcome these green bonds to listing on TISE. It is a pleasure to play a role in supporting such a recognisable and respected telecommunications company, not just with its financing arrangements but also its sustainability strategy, including decarbonisation. This is a great accolade for both our new Qualified Investor Bond Market (QIBM) and our sustainable segment, TISE Sustainable.”

The bonds have been issued by a subsidiary of VMED O2, a 50:50 joint venture formed on 1 June 2021 between Liberty Global plc (Liberty Global) and Telefónica, SA (Telefónica), combining the operations of Virgin Media Inc. in the U.K. (Virgin Media) with the operations of O2 Holdings Limited in the U.K. (O2).

“It is a pleasure to play a role in supporting such a recognisable and respected telecommunications company, not just with its financing arrangements but also its sustainability strategy, including decarbonisation.”

Since 2013, Virgin Media had been a subsidiary of Liberty Global, an international television and telecommunications company. O2, the largest mobile network operator in the UK, had been owned by Spanish telecommunications company Telefónica since 2006. In May 2020, Liberty Global and Telefónica announced the merger of their UK operations through a 50:50 joint venture, which closed on 1 June 2021.

The company has developed the VMED O2 Green Bond Framework which is aligned with the Green Bond Principles 2021, as administered by the International Capital Market Association (ICMA), and under which it is issuing green bonds and using the proceeds to finance and/or refinance projects that are expected to contribute to the decarbonisation of VMED O2’s operations and underpin the UK’s digital revolution.

“The company has developed the VMED O2 Green Bond Framework which is aligned with the Green Bond Principles 2021, as administered by the International Capital Market Association (ICMA).”

VMED O2 UK Financing I plc, a subsidiary of VMED O2, has now issued the two bonds that have been listed on TISE’s QIBM and admitted to TISE Sustainable. Ogier Corporate Finance Limited has acted as TISE Listing Agent for the issuer and its wider group in respect of many TISE listings, including the USD1,400,000,000 4.750% Senior Secured Notes due 2031 and GBP675,000,000 4.500% Senior Secured Notes due 2031 which have been listed on TISE Sustainable. Ropes & Gray LLP have acted as UK counsel to the issuer.

Raulin Amy, director of Ogier Corporate Finance Limited, said: “We are very pleased to have assisted the issuer with its listing on TISE. Ogier Corporate Finance Limited continues to see significant interest from issuers who wish to list bonds on TISE and with our considerable experience in the marketplace, we are ideally placed to assist with listing a wide range of bonds, including green and sustainable issuances.”

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Anthony Byrne
Anthony Byrne
Head of Bond Markets