UniCredit acted as Sole Placement Agent and Sole Sustainability Advisor in the ESG-linked debt private placement by SIT S.p.A. The placement is the first take-down of a US$100 million programme signed by SIT with the Investor.
The private placement has been entirely subscribed by PRICOA Private Capital Group - a company of the US Group Prudential Financial, Inc.. The Notes were issued in a single tranche with 10-year final maturity and carry a fixed semi-annual coupon indexed to a sustainability rating (ESG) provided by the international ESG certification agency EcoVadis.
With this transaction, SIT diversifies its funding sources, improves its financial flexibility and will use the proceeds to partially refinance bank debt raised for a recent acquisition in the water metering space.
As stated by Mr Federico de' Stefani, CEO and majority shareholder of SIT, the placement of sustainability linked bonds is part of a strategy to position his company as a champion in the space of smart solutions for climate control and consumption measurement. As a reference, SIT subsidiary MeteRSit is producing prototype hydrogen meters that will be installed in the first houses powered entirely by hydrogen located in Northern England, as part of a programme sponsored by the British Government.
SIT Group is a Padua based leading global manufacturer of components for the control and safety of gas appliances for domestic heating and of metering devices for the measurement of gas and water. In 2020, SIT posted revenues of €320 million and EBITDA of €44 million and has been listed on the Mercato Telematico Azionario (MTA) by Borsa Italiana since November 2018, with a market capitalization of nearly €200 million.