Energy

De Brauw assists Gasunie with the issuance of its inaugural Sustainability-Linked BondN.V. Nederlandse Gasunie has successfully issued its inaugural Sustainability-Linked Bond (SLB). The issue amounts to EUR 300 million with a tenor of 15 years, maturing on 13 October 2036. Gasunie is the first company in the European gas transmission sector to issue a SLB. The bond was issued in accordance with Gasunie's recently published Sustainability-Linked Bond Framework, which follows the ICMA Sustainability-Linked Bonds Principles. The adoption of this framework is part of Gasunie's efforts to broaden its ESG financing sources.De Brauw is pleased to have been able to assist its long-term client Gasunie with the establishment of its Sustainability-Linked Bond Framework and incorporate this framework into the Euro Medium Term Note programme in the form of two ambitious ESG targets. This first-of-a-kind issuance for Gasunie underlines the broader market trend of an increased focus on the ESG aspects of financing arrangements. Next to the rise of sustainability-linked financing arrangements (in which the ESG performance is linked to certain financial consequences), there is also a lot of activity in the green bond market, where the proceeds are used for certain eligible green projects.

De Brauw successfully represented Westermeerwind Wind Farm - the largest Dutch near-shore wind farm, located in the Noordoostpolder and generating an amount of energy comparable to the consumption of 160,000 households - in objection proceedings and in appeal proceedings before the Trade and Industry Appeals Tribunal (CBb) against the Minister of Economic Affairs and Climate Policy. The case revolved around the government's intention to recover tens of millions of euro in subsidies for the wind farm, based on alleged non-compliance with state aid rules. On 26 April 2021, the CBb ordered the minister to recalculate the reduction in subsidy for the Westermeerwind wind farm, in favour of Westermeerwind.

On 1 October 2021, Akastor and Baker Hughes completed the establishment of a joint venture, creating a global full-service offshore and onshore drilling equipment company. The new company will be known as HMH and combines two of the best-known equipment manufactures in the industry. HMH aims to support the offshore drilling industry’s transition toward more energy-efficient solutions, as well as deploying technologies and service solutions to make the sector more competitive through increased drilling efficiency. Moreover, the Company’s service and technology portfolio will provide a solid foundation for future growth, both within drilling services and when pursuing opportunities towards adjacent industries such as renewables and mining.

A bill was recently submitted to parliament establishing a national security screening regime where target undertakings active in the Netherlands in vital processes or sensitive technology, are being acquired. In 2020, the Dutch government indicated its intention for the screening mechanism to apply retroactively. Under the current bill, the regime would apply to qualifying investments made after 8 September 2020.

A bill introducing a UBO register for trusts and funds for joint account (fondsen voor gemene rekening) was submitted to the lower house of the Dutch parliament on 26 April 2021. The register will be kept by the Chamber of Commerce in the Netherlands.

In July 2020, the Dutch government announced its plans to introduce the BVm (maatschappelijke BV) in Dutch corporate law – see our previous In Context article. The BVm is a new type of private limited liability company for social entrepreneurs active in addressing societal issues. The new type of legal entity will make it easier to identify companies with a positive impact on society. This will in turn help social enterprises and stakeholders connect and do business with each other.