Practices

Obvion Green Storm : Pioneering RMBS Green Mortgage project NL

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Obvion NV is a residential mortgage provider in the Dutch market and a wholly owned subsidiary of Rabobank.

In 2016, Obvion issued Europe's first 100% green RMBS (Residential Mortgage Backed Security); meaning the assets backing the bond are green residential mortgages, ie. linked to energy efficient homes, and that the proceeds of the bond issuance will finance those green residential mortgages.

 

Part of Green Storm 2016, the pool contains a mix of energy efficient homes, as well as houses that have been refurbished to improve energy performance.

 

The Green STORM 2017 B.V. securitisation was for the purposes of refinancing a portfolio of energy efficient residential mortgages.

Following on from their two highly successful and popular Certified RMBS's in 2016 and 2017, Obvion issued another in 2018.

 

More information here

 

 

Lessons learnt

From Obvion Press Release 19th June 2018 Max Bronzwaer, Executive Director and Treasurer at Obvion: "I am extremely proud of realizing this successful green bond transaction. After the success of Green STORM 2016, this was the second time that RMBS investors had the possibility of buying green RMBS bonds for their sustainable bond portfolio. The order book of Green STORM 2017 was around EUR 1,4 bn. Therefore we were able to allocate solely to green investors. Green investors value the unique character of this transaction and the selection of green assets. About 25 green investors participated in this transaction. Some investors were new and didn’t participate in Green STORM 2016. That is a positive development and in line with the goal that we aimed for in 2016: developing a new market for green RMBS.”

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Additional documents

Available link languages

Operational date

Mercoledì, 1 Giugno, 2016

References

http://www.reuters.com/article/green-abs-idUSL5N18M19V
May 2017 http://www.sustainalytics.com/wp-content/uploads/2017/05/Obvion-Green-Storm-2017-CBI-Assurance-Letter_10-Final.pdf
May 2018 https://www.climatebonds.net/files/files/Sustainalytics%20Second%20Party%20Opinion%20Rabobank%20STORM%202018.pdf

Source of funding

Funding description

Green bond in the mortgage-backed sector

Economic effect

The aim is to target buyers across the spectrum, including traditional RMBS investors, dedicated Green buyers and those who already invest across both sectors.