Dutch pension fund ABP has invested €50m in a ‘blue’ bond from the Danish energy company Ørsted.

The bond aims to support the restoration and conservation of marine biodiversity.

ABP’s announcement coincides with World Oceans Day, which aims to raise awareness of the influence that humans have on life in the oceans and seas.

Most of the proceeds from the bond will go to projects that contribute to the conservation and restoration of marine ecosystems.

This includes measures to restore the natural habitat of marine wildlife and use ‘bubble curtains’ to reduce noise pollution during the construction of offshore wind farms.

ABP noted that underwater noise and vibrations have a major impact on marine animals, such as dolphins and whales, that use sound waves to navigate and communicate.

The rest of the proceeds from the bond will go towards making sea transport greener.

ABP’s investment amounts to €50m, with Ørsted raising a total of €100m for its bond.

The bond was only able to be bought by pre-selected investors, and ABP is one of the world’s largest investors in green bonds.

As it was only able to be bought by pre-selected investors, ABP said this allowed it to make agreements with the company about the terms of the loan.

ABP is one of three investors in the bond, which it said would have a higher yield than on a comparable bond as it was placed privately.

“Ørsted, the issuer of the bond, is the former Danish state oil company,” ABP stated.

“That company has undergone a complete transformation in recent years; all oil and gas activities have been divested and today Ørsted is a global market leader for offshore wind energy.

“Ørsted wants the company's activities to have more positive than negative effects on biodiversity.

“ABP has been investing in Ørsted for some time and has thus contributed to the company's transition.”

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