Green Bond Fact Sheet

Grupo Pestana

Date: 04/10/2019

Issue date: 23-09-2019 Maturity date: 23-09-2025 Tenor: 6
Issuer Name

Grupo Pestana

Amount Issued

EUR60m/USD66m

Country of risk

Portugal

CBI Database

Included

Issuer Type1

Non-financial
corporate

Bond Type

Senior unsecured

Green Bond Framework

N/A

Second party opinion

DNV GL

Certification Standard

Not certified

Assurance report

N/A

Certification Verifier

N/AGreen bond rating

N/A☐ Energy☐ Solar☐ Onshore wind
☐ Offshore wind
☐ Geothermal☐ Hydro☐ Tidal☐ Biofuels☐ Bioenergy☐ District heating☐ Electricity grid

☐ Energy storage☐ Energy performance☐ Infrastructure☐ Industry: components☐ Adaptation & resilience☒ Buildings☒ Certified Buildings☐ HVAC systems☒ Energyperformance☐ Water performance☐ Energy storage/meters☐ Other energy related☐ Industry: components☐ Adaptation & resilience☐ Transport☐ Electric vehicles☐ Low emission
vehicles☐ Bus rapid transit☐ Passenger trains☐ Urban rail

☐ Freight rolling stock☐ Coach / public bus☐ Bicycle infrastructure☐ Energy performance☐ Transport logistics☐ Infrastructure☐ Industry: components☐ Adaptation & resilience☐ Water & wastewater☐ Water distribution☐ Water treatment☐ Wastewatertreatment☐ Water storage☐ Storm water mgmt
☐ Flood protection☐ Desalinisation plants☐ Erosion control☐ Energy performance☐ Infrastructure☐ Industry: components☐ Adaptation & resilience☐ Waste management☐ Recycling☐ Waste prevention☐ Pollution control☐ Landfill, energy capture☐ Energy performance☐ Infrastructure☐ Waste to energy☐ Industry: components☐ Adaptation & resilience

Use of Proceeds☐ Land use & agriculture☐ Afforestation/parks☐ FSC Forestry☐ FSC Cellulose &paper☐ Land remediation☐ Energy/water efficiency☐ Sustainable agriculture☐ Adaptation & resilience☐ Other☐ Adaptation &resilience☐ ICT☐ Industry: process

Issue details
Reporting

Annual allocation reporting which will be made publicly available within one year of issuance,
as well as impact reporting on the expected environmental impacts of the projects according
to the key indicators outlined (energy performance and carbon reduction).

Company information

Grupo Pestana is a group of companies engaged in leisure and tourism activities, more
specifically the management and operation of hotels and other real estate for touristic use.
With HQ in Lisbon, the group is a leader in the Portuguese hospitality business and among
the top 10 in the Iberian region.

Firsts, records andcertificationsFirst Portuguese issuance from a real estate company, and the first to finance Buildings
projects at all.

Proceeds description

The proceeds will refinance two existing eligible projects, in part or in full. They are the Eco
Resort Pestana Troia and Pestana Blue Alvor. Both projects demonstrate energy efficiency
metrics that have a positive environmental impact.

Climate Bonds view

Great to see another Portuguese issuer enter the green bond market. The projects aretechnologically advanced and deliver significant environmental benefits vs. alternativebuildings, and Grupo Pestana seems to be committed to improving the environmental
performance across its business in the years to come. Since this green bond has been used
for refinancing, we hope the issuer will come to market with deals for new projects.
So far there have been 5 bonds (from 3 issuers) from Portugal, 4 of which have been thisyear. All have been issued by non-financial corporates and in EUR, and apart from this one,all for energy-related projects. It would be good to see issuance from other issuer types(especially public sector entities) to finance a wider variety of projects.
Furthermore, the tourism sector is hugely important in Portugal, so we welcome moreissuance from companies operating in the sector as it continues to grow.
BBVA

Underwriters
Deal comments
Credit Rating
Pricing summary
Investors summary

1Issuer categories: ABS, development bank, financial corporate, government-backed entity, loan, local government, non-financial
corporate, sovereign