State Street Announces Inaugural $500 Million Bond Issuance Under its Sustainability Bond Framework
November 04 2022 - 4:05PM
Business Wire
The Framework enables State Street to fund Green and Social
projects that will directly support State Street’s broader ESG
strategy
State Street Corporation today announced that it has issued $1
billion of senior unsecured bonds, including an inaugural $500
million bond issued under its Sustainability Bond Framework (the
“Framework”) which enables the issuance of Green, Social, and
Sustainability Bonds. The Framework was developed as a key element
of State Street’s broader environmental, social and governance
(ESG) strategy.
The Sustainability Bond offering, totaling $500 million of
fixed-to-floating rate senior notes due 2026, was underwritten by
Deutsche Bank Securities Inc. and Credit Suisse Securities (USA)
LLC acting as both bookrunners and sustainability bond structuring
advisors. The full underwriting syndicate included Goldman Sachs
& Co. LLC, Academy Securities, Inc., CastleOak Securities,
L.P., R. Seelaus & Co., LLC, and Samuel A. Ramirez &
Company, Inc.
“We are proud to announce our new Framework, alongside this
important bond issuance, as we believe it extends the pathways for
our broader ESG initiatives,” said Eric Aboaf, vice chairman &
chief financial officer at State Street. “These bonds are very
important tools for sourcing funding that is critically needed to
support sustainability-focused projects, and our new Framework is
vital to helping us channel investment into these areas.”
State Street remains committed to business and operational
activities that address critical global issues, including the
firm’s 10 Actions to Address Racism and Inequality, that are
important to employees, clients, communities, and other
stakeholders.
State Street will allocate an amount equivalent to the proceeds
from bonds issued under the Framework to fund projects that meet
the principles and guidelines within the Framework. These include
affordable housing projects, renewable energy projects (including
wind and solar power), Green buildings (LEED Gold and above),
socioeconomic advancement and employment (with a focus on racial
equity, social justice, education or workforce development),
essential services (including education and healthcare), and
environmental infrastructure and services (including clean
transportation and sustainable water management).
Read more about State Street’s ESG highlights in, “Accelerating
Growth, 2021 ESG report.” A copy of the Framework can be found
here.
About State Street Corporation
State Street Corporation (NYSE: STT) is one of the world's
leading providers of financial services to institutional investors
including investment servicing, investment management and
investment research and trading. With $35.7 trillion in assets
under custody and/or administration and $3.3 trillion* in assets
under management as of September 30, 2022, State Street operates
globally in more than 100 geographic markets and employs
approximately 41,000 worldwide. For more information, visit State
Street's website at www.statestreet.com.
*Assets under management as of September 30, 2022 includes
approximately $55 billion of assets with respect to SPDR® products
for which State Street Global Advisors Funds Distributors, LLC
(SSGA FD) acts solely as the marketing agent. SSGA FD and State
Street Global Advisors are affiliated.
Forward-Looking Statements:
This News Release contains forward-looking statements within the
meaning of United States securities laws, including statements
about State Street’s sustainability goals and its plans with
respect to the proceeds from its Sustainability Bond offering.
Forward-looking statements are often, but not always, identified by
such forward-looking terminology as “intend,” “plan,” “outlook,”
“guidance,” “expect,” “priority,” “objective,” “forecast,”
“believe,” “anticipate,” “estimate,” “seek,” “may,” “will,”
“trend,” “target,” “strategy” and “goal,” or similar statements or
variations of such terms. These statements are not guarantees of
future performance, are inherently uncertain, are based on current
assumptions that are difficult to predict and involve a number of
risks and uncertainties. Therefore, actual outcomes and results may
differ materially from what is expressed in those statements, and
those statements should not be relied upon as representing State
Street’s expectations or beliefs as of any time subsequent to the
time this News Release is first issued. Other important factors
that could cause actual results to differ materially from those
indicated by any forward-looking statements are set forth in State
Street’s 2021 Annual Report on Form 10-K and State Street’s
subsequent SEC filings. We encourage investors to read these
filings, particularly the sections on risk factors, for additional
information with respect to any forward-looking statements and
prior to making any investment decision. The forward-looking
statements contained in this News Release should not by relied on
as representing State Street’s expectations or beliefs as of any
time subsequent to the time this News Release is first issued, and
we do not undertake efforts to revise those forward-looking
statements to reflect events after that time.
© 2022 State Street Corporation - All Rights Reserved
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version on businesswire.com: https://www.businesswire.com/news/home/20221104005525/en/
Media Relations Contact: Ed Patterson +1 404 213 3106
epatterson@statestreet.com Investor Relations Contact: Ilene
Fiszel Bieler +1 617-664-3477 ifiszelbieler@statestreet.com
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