Anthropocene Fixed Income Institute

Aramco's lease-lease-back transactions of oil and gas pipeline networks were worth USD27bn in 2021. These public-to-private transactions require bridge financing, and AFII argues that the bridge loans providers 'own' the carbon footprint until the loans are refinanced with implication for YE21 investor exposures.

(16 Dec 2021)

A portfolio company of private equity house EQT has entered into a joint venture with Adani Enterprises, one of the world's biggest coal players, to build power hungry data centres. Self-disclosure says "mostly powered by renewables", and we ask a few questions around that.

(24 Feb 2021)

Some investors have absolute zero new coal  mine funding policies. AFII analysis indicates that investors in EQT  Infrastructure fund(s) with exposure to AdaniConneX may actually have  non-zero exposure to the aberrant Carmichael mine project. And AFII sees  that as a position to avoid. 

(2 March 2021)

This note analyses private transactions to fund integrated O&G assets using public bond market financing for leverage. As some of the bonds have landed in ESG indices and Article 8 funds, we recommend a further analysis of stand-alone ESG ratings on the bonds, and point toward reporting requirements under the EU regulatory regime for the financing SPVs.

(3 April 2023)