The offering was oversubscribed by more than three times, demonstrating strong investor confidence, the company announced on Wednesday.
The 10-year bonds were issued on favorable terms, with interest rates comparable to those of Polish government bonds, Orlen said.
CEO Ireneusz Fąfara highlighted the high demand as proof of market trust in Orlen’s long-term strategy.
A total of 206 investors from around the world subscribed to more than USD 4 billion worth of bonds.
Ultimately, Orlen allocated 6,250 bonds to 148 investors across 28 countries.
The largest share of buyers came from the United States (60 percent), followed by the United Kingdom and Ireland (22 percent). More than 60 percent of subscriptions were placed by investment funds.
Orlen secured a fixed annual interest rate of 6 percent on the bonds, which it plans to list on the regulated Euronext Dublin market.
The funds will support key energy projects, including gas-fired power plants, natural gas extraction, four offshore wind farms, large-scale energy storage facilities, and at least two small modular nuclear reactors.
The company emphasized the importance of securing stable, cost-effective financing for its ambitious energy transition projects.
"Investors appreciate not only our well-thought-out transformation plan but also our transparent and flexible approach to investment spending," Fąfara said.
Orlen has maintained a presence in North America for a long time, with oil extraction operations in Canada and liquefied natural gas (LNG) purchases from the United States.
The company plans to expand its midstream operations—the infrastructure required to transport LNG to Poland.
As Central Europe’s largest energy group, Orlen operates refineries in Poland, the Czech Republic and Lithuania, along with a network of fuel stations across the region.
Its operations span oil and gas extraction, petrochemicals and renewable energy, with plans to develop nuclear power through small modular reactors (SMRs).
Earlier this year, Orlen unveiled a new corporate strategy outlining its goals through 2035.
The company expects cumulative earnings before interest, taxes, depreciation, and amortization (EBITDA) of PLN 500-550 billion (USD 125-137 billion) over the next decade.
Capital expenditures, including investments, are projected to range from PLN 350 to 380 billion (USD 88-96 billion), with PLN 270-290 billion (USD 67-74 billion) earmarked for flexible investments that allow for budget adjustments.
Among its top priorities, Orlen aims to increase natural gas production, build offshore wind farms, expand energy storage, and develop nuclear power facilities using SMR technology.
(rt/gs)
Source: PAP