CaixaBank prices €1bn five-year green bond at 70bps over mid-swaps

CaixaBank raised €1 billion from a five-year senior preferred green bond, the bank's first ESG-labelled issue of 2026.

Peak demand topped €4.5 billion, which CaixaBank said was its largest order book for a euro-denominated senior preferred green bond.

Green-bond fund managers have a new five-year senior preferred reference point, but they cannot size the green portion because CaixaBank said the assets partly meet EU Taxonomy criteria and did not specify the aligned share.

CaixaBank priced the bond at 70 basis points over mid-swaps, with a 3.875% coupon, 30 basis points inside the initial MS+100 bps area. The bank said the final spread sits very close to its estimate of the bond's fair value and that the deal was one of few recent transactions to price without a material new issue premium.

It is also the bank's first senior preferred green bond carrying A2/A+/A+ ratings from Moody's, S&P and Fitch, following a series of upgrades since 2022.

CaixaBank said credit and rate markets improved significantly after the U.S. midterm elections. BNP Paribas, CaixaBank, Goldman Sachs Bank Europe SE, HSBC, Mediobanca and Natixis were joint lead managers.

Proceeds fund eligible projects in CaixaBank's green portfolio under its Sustainable Funding Framework, which the bank says is aligned with the International Capital Market Association's Green Bond Principles and supports climate change mitigation.

CaixaBank's previous euro green bond, in June 2025, was a €1 billion ten-year senior preferred issue. Its eligible green portfolio reached €17.9 billion at the end of 2025, up 33% year on year, concentrated in renewable energy, energy efficiency, green buildings and clean transport.

The bank's 2025-2027 Sustainability Plan targets more than €100 billion in mobilised sustainable finance. By June 2026 it had mobilised €81.096 billion, more than 81% of the goal, leaving €18.9 billion of the target to fund.